Open-Ended Funds are mutual funds where you can buy or sell units anytime based on the current Net Asset Value (NAV). Their consistent liquidity allows you to enter or exit whenever it would be most convenient. These funds combine investor money to create stocks and bond mixed asset investments. The market value of these assets determines daily updating of the navigation value. Key benefits are excellent diversification, liquidity, and professional management.
Closed-Ended Funds, on the other hand, have a fixed maturity period and limited entry points, usually only during the New Fund Offer (NFO). After the IPO, their units are traded on the stock exchange, but they don’t offer liquidity during their lock-in period. Essentially, you can’t exit until the fund matures.
Open-Ended Funds are mutual funds where you can buy or sell units anytime based on the current Net Asset Value (NAV). Their consistent liquidity allows you to enter or exit whenever it would be most convenient. These funds combine investor money to create stocks and bond mixed asset investments. The market value of these assets determines daily updating of the navigation value. Key benefits are excellent diversification, liquidity, and professional management.
Closed-Ended Funds, on the other hand, have a fixed maturity period and limited entry points, usually only during the New Fund Offer (NFO). After the IPO, their units are traded on the stock exchange, but they don’t offer liquidity during their lock-in period. Essentially, you can’t exit until the fund matures.
