open-end fund

(redirected from Open-ended fund)
Also found in: Dictionary, Thesaurus.
Related to Open-ended fund: Closed end funds, Closed end mutual fund

Open-end fund

Used in the context of general equities. Mutual fund that continually creates new shares on demand. Mutual fund shareholders buy the funds at net asset value and may redeem them at any time at the prevailing market prices. Antithesis of closed-end fund.

Open-End Mutual Fund

A mutual fund in which the number of shares may be increased or decreased depending on the amount of money invested in the company. This means that the fund's capitalization is not fixed and changes upon the demand of shareholders. In other words, an open-end mutual fund issues new stock when people invest in it and buys back old shares when investors want to be rid of them. The latter is referred to as redeeming one's share of the mutual fund. The value of each share is the net portfolio value divided by the number of shares. In the United Kingdom, this investment vehicle is usually called an open-end investment company.

open-end fund

An investment fund that does not have a finite life, continually accepts new investor capital,and makes new property investments.

References in periodicals archive ?
It is proposed that the new open-ended fund company vehicle will be established under the Securities & Futures Ordinance and be regulated and supervised by the Securities & Futures Commission.
These funds, unlike more common open-ended funds, trade just like stocks directly on a major exchange.