Feeder Fund
A fund that conducts virtually all of its investing through another fund (called the master fund).
Investopedia Commentary
This is similar to a fund-of-funds arrangement, except that the master fund manager is responsible for managing the underlying investments.
Often, an onshore feeder fund will invest in an offshore master fund. This is done so that the foreign master fund can gain a tax advantage for the domestic investors.
Related Links
Mutual Fund Basics Tutorial
See also: Fund of Funds, Master Fund