What does it mean that closed-end funds can't apply for redemption? Can they be bought and sold on the stock exchange?
Closed-end funds cannot be redeemed during their closed period, such as two or five years, during which they cannot be redeemed. However, fund shares can be publicly transferred on the stock exchange or OTC market, and the transfer price is determined by market supply and demand. Of course, there is a charge for converting your fund shares into stocks.