Definition ∞ Equity funds are investment vehicles that pool capital from multiple investors to purchase shares in publicly traded companies. These funds aim to generate returns through capital appreciation and dividends from the underlying stock holdings. They offer diversification and professional management, making them accessible to a broad range of investors. Their performance is directly linked to the value fluctuations of the held stocks.
Context ∞ While traditionally focused on conventional stock markets, equity funds are increasingly exploring exposure to public companies with significant involvement in blockchain technology or digital asset infrastructure. This trend reflects a growing institutional acceptance of the digital asset ecosystem’s broader economic impact. The integration of digital asset-related equities into traditional fund portfolios is a notable development.