Although many mutual fund companies pursue wealthy customers, they are likely to have a hard time winning them over, as the very wealthy in the U.S. prefer to invest in hedge funds, private equity and start-up companies, The Wall Street Journal reports.

A report from Prince & Associates found that the wealthy, those with between $500,000 and $1 million to invest, do flock to exchange-traded funds and mutual funds, with two-thirds investing in ETFs and more than half in mutual funds.

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