The subject of this work is business and developmental perspectives of investment funds in the Republic of Croatia. The project describes the meaning of investment funds, how they developed in Croatia and under which circumstances. The aim of this work is to conceive the entire business of investment funds in the Republic of Croatia and indicate a question why investment funds should be activity holders and one of the most important participants and initiators of financial market today. The business of investment funds and how the economic crisis affected them is also presented. Furthermore, the work presents developmental perspectives of investment funds and which factors influence their development in the Republic of Croatia. A survey was made to examine to what extent citizens of Požeško – Slavonska County are acquainted with investment funds. The work explored the elements that affect the business and prospects of the development of investment funds in Republic of Croatia, and those are legislation, taxation of capital profit, attitude towards investors, informing citizens and businessmen about investment funds. The end of this project provides final analysis of the subject.