Orders placed for buying shares of a mutual fund any time up to 4:00 p.m.are priced at that day's NAV,and orders placed after 4:01 p.m.are priced at the next day's NAV.What is this practice known as?

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This is the industry-standard practice for mutual funds where orders placed before 4:00 p.m. are priced at that day's NAV (Net Asset Value) and orders placed after 4:01 p.m. are priced at the next day's NAV. It ensures that all investors are treated fairly and allows for accurate valuations of the fund's assets. Late trading (B) is an illegal practice where trades are executed after market closing but priced at the same day's NAV. Price arbitrage (C) refers to taking advantage of price differences between two markets, and price dealing (D) is not a recognized term in the mutual fund industry.

Orders Placed for Buying Shares of a Mutual Fund Any