Both feeder funds and funds of funds invest in other funds rather than picking stocks directly. The difference comes down to how many funds they invest in. Here's a simple breakdown.
A feeder fund channels almost all of your money into a single larger fund, called the target fund. The target fund is usually a well-established global fund that would otherwise be hard for an individual investor to access. By "feeding" into it, the fund gives you that access in pesos. Many of DragonFi's global funds are feeder funds.
What's a fund of funds?
A fund of funds spreads your money across several underlying funds instead of just one. Each of those funds holds its own basket of investments, so a fund of funds gives you an extra layer of diversification, often across different managers and strategies in one product.
Why does the difference matter to me?
The practical effect is about how concentrated your exposure is. A feeder fund gives you focused access to one specific strategy, while a fund of funds diversifies across several at once. Both invest in funds based overseas, so both tend to take a little longer to settle when you redeem, compared with a local fund. For more on the first type, see the "What is a feeder fund?" article by DragonFi.