Chapter 20 Flashcards
1
Q
closed end funds
A
: A mutual fund that sells a fixed
number of shares of stock and does not continue
to accept investments.
2
Q
deferred load
A
A fee on a mutual fund investment that
is charged only if the investment is withdrawn.
The amount of the deferred load usually falls the
longer the investment is left in the fund.
3
Q
diversification
A
4
Q
hedge funds
A
A special type of mutual fund that
acquires funds by selling shares but only to very
wealthy people, so they are less regulated than
mutual funds.
5
Q
load funds
A
: A mutual fund that charges a fee when
money is added to or withdrawn from the fund.
6
Q
net asset value (NAV)
A
7
Q
no load funds
A
