Evolutionary perspective The approach to psychology that stresses the importance of behavioral and mental adaptiveness, based on the assumption that mental capabilities evolved over millions of years to serve particular adaptive purposes.
How Stock Mutual Funds Pay Dividends. Stock mutual funds hold a portfolio of many stocks, in some cases hundreds or even thousands of different companies. These companies are distributing dividends throughout the year. However, it is generally impractical for mutual fund companies to distribute dividends to shareholders every time they receive them.
Bondholders receive interest for the bonds that they purchase -- not dividends. Because bondholders are lending money to entities when they purchase bonds, these interest payments resemble the interest that homeowners pay on their mortgages or that credit card owners pay credit card companies on unpaid balances.