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Answer Posted / kanika
Open-end fund
The term mutual fund is the common name for an open-end
investment company. Being open-ended means that, at the end
of every day, the fund issues new shares to investors and
buys back shares from investors wishing to leave the fund.
A closed-end fund is a publicly traded investment company
that raises a fixed amount of capital through an initial
public offering (IPO). The fund is then structured, listed
and traded like a stock on a stock exchange.
Also known as a "closed-end investment" or "closed-end
mutual fund."
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