A(n)________ is a mutual fund company that has the ability to issue as many shares as investors are willing to purchase.
A)closed-end mutual fund
B)share repurchase fund
C)open-end mutual fund
D)variable share mutual fund
E)none of the above

Question

Quizplus · Accepted Answer

An open-end mutual fund is a type of mutual fund company that issues new shares continuously as investors purchase them, and can redeem shares as investors sell them back to the company. Therefore, it has the ability to issue as many shares as investors are willing to purchase. Closed-end mutual funds have a fixed number of shares that are issued in an initial public offering and trade on an exchange like a stock. Share repurchase funds and variable share mutual funds do not exist as formal categories of mutual funds.

A(n)________ Is a Mutual Fund Company That Has the Ability