Closed-end funds can only be traded on exchanges. Before the expiration of closed-end funds, fund holders can only sell them to other investors through on-site transactions, and may not sell them to fund companies. Holders of open-end funds can sell their fund shares to fund companies at net value.
Open-end funds have become the mainstream of the fund market. After 0 1 year, no new closed-end funds will be issued. Closed-end funds have a clear duration, during which the issued fund shares cannot be redeemed; The fund shares issued by open-end funds can be redeemed, and investors can also buy the fund shares at will during the duration of the fund, which leads to the constant change of the total fund amount every day.
Extended data:
From different angles, we can divide open-end funds into different categories.
According to whether it can be listed on the stock exchange, open-end funds can be divided into listed open-end funds and contractual open-end funds.
Listed and traded open-end funds refer to securities investment funds whose fund shares are listed and traded on the stock exchange, and both sides of the fund are investors. For example, transactional open-end index funds (ETFs) and listed open-end funds (LOF).
Contractual open-end fund refers to the securities investment fund whose fund share cannot be listed and traded on the stock exchange. Although such funds cannot be listed on the stock exchange, they can be traded through "subscription" and "redemption", and the trading parties of such funds are investors and fund companies.
According to different investment objects, open-end funds can be divided into stock funds, bond funds, mixed funds, money market funds, futures funds, option funds and warrant funds.
Baidu Encyclopedia-Open Fund