Products & Risks第 18 / 125 题

Under the Investment Company Act of 1940, an open-end investment company (mutual fund):

a.Issues a fixed number of shares that trade on an exchange
b.Continuously offers new shares and redeems outstanding shares at net asset value
c.Cannot invest in equity securities
d.Is prohibited from charging any fees

解析

An open-end fund continuously issues new redeemable shares and redeems existing shares at net asset value (NAV), calculated at least daily. This contrasts with a closed-end fund, which issues a fixed number of shares that then trade in the secondary market at prices set by supply and demand.

法律依据: Investment Company Act of 1940

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