2 Open vs. Closed Flashcards
Open vs. Closed
- Capitalization
- Issues
- Shares
Open vs. Closed
Offering / Trading
Open
- sold & redeemed by fund
- continours primary offering
- must redeem shares
Closed
- initial primary
- secondary trading
- no redeem
Open vs. Closed
- Price
- Share holders
- Ex Date
Investment Co Operators
- BOD
- Investment Advisor
- Custodian
- Transfer Agent
- UW
Admin matters
elected by shareholders
Investment Co Operators
- BOD
- Investment Advisor
- Custodian
- Transfer Agent
- UW
investment decisions
paid on % assets
Investment Co Operators
- BOD
- Investment Advisor
- Custodian
- Transfer Agent
- UW
holds assets
paid fee by fund
clerical duties
Investment Co Operators
- BOD
- Investment Advisor
- Custodian
- Transfer Agent
- UW
issues & redeems shares
paid fee in fund
Investment Co Operators
- BOD
- Investment Advisor
- Custodian
- Transfer Agent
- UW
distriubtes shares
paid sales
Ex Date
set by BOD
business day after record date
Subchapter M / Conduit Theroy
regulated investment co.
Liquidation
set by who
what order
IRS
FIFO
unless investor choose otherwise
Dollar Cost Averaging
investor invests same $ amt at regular intervals
makes ave price lower than mkt price
Prospectus infor cannot be oder than
16 months
BOD minimum term
1 year
Purchase/ Redemption Price
calculated on Nav when?
next computed after fund rcvs order
forward pricing
investment obj change
by what vote of shares?
majority
shares not share holders
investor buys shares just under next bracket that would qualify for reduced sales charges is called
breakpoint sale
Investment Co Act 1940
to be diversified
- % of corp voting stock
- % of portfolio in single co
- % own assets (opposed to securities other than those the fund owns)
=<
10%
5%
25%
Open vs. Closed
Securities allowed in each
Trading
Price
Voting
EX Date
