Difference between mutual funds and US stocks?

Here at Plum we have two different types of investments: mutual funds and US stocks. To help clear up any confusion, we’re here to explain both to you:

Mutual funds:

At Plum, we offer a range of mutual funds. These funds are financial vehicles, often operated by professional money managers. This allows people to contribute their money into a shared pool and diversify their investment. The money can be invested in a combined portfolio of shares, bonds, or any other financial instruments. With Plum, you can trade mutual funds without any transaction costs and make investments as small as £2.99 per month. Other fees apply to mutual fund investments such as product and management fees.

You can find the available funds here:

If you would like to invest in a mutual fund, you can hit investment in the app, scroll down and you will find your active funds or the option to add if you are just starting your Plum journey.

You can learn more about it in our Help Centre: How does Plum investments work?

How long it takes for this transaction to be completed: Why is My Investment Pending? | Plum Help Center

US stocks:

You can invest in individual US stocks such as Apple, Amazon, and Tesla! Just go the investment section in the app and we have 500 US stocks available . Alternatively, you can upgrade to Premium for GBP 9.99 to access an additional 500 premium US stocks.

In comparison with mutual funds, stock orders are executed immediately from the primary pocket:

If I place an order to trade US stocks, is it executed immediately? | Plum Help Center)

You can find out more about stocks in our Help Centre: Search results for: stocks

Please remember, that your capital is at risk if you choose to invest, and the value of your investments can go down as well as up.

Let us know if you have any questions about this in the comments below!

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