In general, funds can be divided into open-end funds and closed-end funds. Closed-end fund refers to an investment fund whose fund size has been determined before issuance and remains unchanged within a specified period after issuance. Closed-end funds are not allowed to be redeemed in advance, and they generally need to wait until they expire. So can't closed-end funds be redeemed at maturity? Let's get to know each other.

Can't closed-end funds be redeemed at maturity?

Closed-end funds can be redeemed at maturity. There are two main situations.

General 1 closed-end funds will enter the open period after expiration, during which investors can redeem the funds, and some funds will be directly liquidated after expiration. In this case, even if the investor does not redeem the fund, the fund will clear the principal and income into the investor's fund account after liquidation.

There are also some closed-end funds that extend the contract period of the fund and continue to start a new round of investment after the expiration of the exhibition period. At this time, investors can continue to participate in a new round of fund investment if they don't want to redeem the fund.

Can closed-end funds be redeemed in advance?

Closed-end funds cannot be redeemed in advance, and closed-end funds themselves have a long closed period. If it cannot be redeemed in advance, investors' funds will not be able to turn around flexibly. Closed-end funds can be transferred to custody and directly transferred to the secondary market for trading, allowing investors to withdraw funds.