Open-Ended Fund
An open-ended fund allows investors to buy and sell shares at the fund's net asset value (NAV) at any time. These funds are popular in venture capital and private equity for their liquidity and flexibility, enabling continuous capital raising. They differ from closed-ended funds, which have a fixed number of shares, and are ideal for investors seeking ongoing opportunities in dynamic markets.
Key Takeaways
- Allows continuous buying and selling of shares.
- Valued at net asset value (NAV).
- Provides liquidity and flexibility for investors.
- Common in VC and PE sectors.
