Definitions for "Closed-end funds"
Keywords:  redeem, publicly, cefs, overseen, amex
Closed-end funds are baskets of stocks that are grouped according to an investment objective and overseen by a manager. But unlike open-end funds, which continue to increase their asset base by selling to new shareholders, closed-end funds bring in assets by selling a fixed number of shares through an initial offering. After the initial sale, the closed-end fund's shares trade like stocks on exchanges like the NYSE or the AMEX. Low demand for a fund can cause closed-end shares to trade at discounts to net asset value. High demand can create premiums to NAV.
An investment company that sells shares like any other corporation and usually does not redeem its shares. A publicly traded fund sold on stock exchanges or over the counter that may trade above or below its net asset value. Antonym: Open-end fund.
a pool of asset managed by the issuing investment company just like any other mutual fund