Bull

An optimist; someone who assumes that prices will rise. The origin is unknown, although it probably evolved because it contrasts strongly with bear. As the quote from Alexander Pope shows, it was in common usage in London by the early 18th century.

Come fill the South Sea goblet full;
The Gods shall of our stock take care:
Europa pleased accepts the bull,
And Jove with joy puts off the bear.
Alexander Pope, inscription on a punch bowl, 1720
(the year of the South Sea Bubble)

Bear

Someone who acts on the assumption that the price of a security in which he deals will fall. The origin is unknown, although it was common in London by the time of the south sea bubble (1720). It probably derives from the occupation of a bear-skin jobber, about whom the saying went: "He's sold the bear's skin before he's caught the bear."

Balanced fund

A mutual fund that invests in a combination of ordinary share and bonds (including government debt). As such, it has a wide spread of assets and could be considered medium risk, in contrast to funds that are invested wholly in equities (high risk) and wholly in bonds (low risk). The consequence of this should be that the investment return of a balanced fund will be pedestrian compared with an equity fund during a bull market, but will do well during a bear market.