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What Does Venture Capital Funds Mean?
An investment fund that manages money from investors seeking private equity stakes in startup and small- and medium-size enterprises with strong growth potential. These investments are generally characterized as high-risk/high-return opportunities.
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Investopedia explains Venture Capital Funds
Theoretically, venture capital funds give individual investors the ability to get in early at a company's startup stage or in special situations in which there is opportunity for explosive growth. In the past, venture capital investments were only accessible to professional venture capitalists. While a fund structure diversifies risk, these funds are inherently risky.
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What Does Equity Fund Mean?
A mutual fund that invests principally in stocks. It can be actively or passively (index fund) managed.
Also known as a "stock fund".
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Investopedia explains Equity Fund
Stock mutual funds are principally categorized according to company size, the investment style of the holdings in the portfolio and geography:
Size is determined by a company's market capitalization, while the investment style, reflected in the fund's stock holdings, is also used to categorize equity mutual funds.
Stock funds are also categorized by whether they are domestic (U.S.) or international. These can be broad market, regional or single-country funds.
There are so-called "specialty" stock funds that target business sectors such as healthcare, commodities and real estate.