A mutual fund that sells new shares to any investor who requests them is referred to as a(n) ____ fund.

Question

Quizplus · Accepted Answer

An open-end fund continuously issues new shares of the fund to investors, meaning that anyone who wants to purchase shares can do so at the current net asset value (NAV). This is in contrast to closed-end funds which have a fixed number of shares that are traded on an exchange, and new shares must be purchased from other investors. Load and no-load refer to the sales fees charged by the fund, and are not related to whether the fund is open- or closed-end.

A Mutual Fund That Sells New Shares to Any Investor