A collective investment fund (CIF), also known as a collective investment trust (CIT), is a group of _________ accounts held by a bank or trust company. The financial institution _________ assets from individuals and organizations to _________ a single, larger, diversified portfolio.

From the first reading of the given text we can infer that the terms in the second and third blanks should be in present simple form. Based on this, both options B and C can be eliminated, since 'collected' and 'covered' are in the past tense. Also from the second sentence we can infer that the 'single, larger' portfolio should be composed of the many accounts held by the bank. Based on this, out of the remaining two options, option A and option D, option D is likely the better choice.

A collective investment fund (CIF), also known as a collective investment trust (CIT), is a group of pooled accounts held by a bank or trust company. The financial institution groups assets from individuals and organizations to develop a single, larger, diversified portfolio.