What does closed-end investment company mean?

Definitions for closed-end investment company
closed-end invest·men·t com·pa·ny

This dictionary definitions page includes all the possible meanings, example usage and translations of the word closed-end investment company.

Princeton's WordNet

  1. closed-end fund, closed-end investment companynoun

    a regulated investment company that issues a fixed number of shares which are listed on a stock market


  1. closed-end investment company

    A closed-end fund (CEF) is a fund that raises capital by issuing a fixed number of shares which are not redeemable, and then invest that capital in financial assets such as stocks and bonds. Unlike open-end funds, new shares in a closed-end fund are not created by managers to meet demand from investors. Instead, the shares can be purchased and sold only in the market, which is the original design of the mutual fund, which predates open-end mutual funds but offers the same actively-managed pooled investments. In the United States, closed-end funds sold publicly must be registered under both the Securities Act of 1933 and the Investment Company Act of 1940.Closed-end funds are usually listed on a recognized stock exchange and can be bought and sold on that exchange. The price per share is determined by the market and is usually different from the underlying value or net asset value (NAV) per share of the investments held by the fund. The price is said to be at a discount or premium to the NAV when it is below or above the NAV, respectively. A premium might be caused by the market's confidence in the investment managers' ability or the underlying securities to produce above-market returns. A discount might reflect the charges to be deducted from the fund in future by the managers, uncertainty from high amounts of leverage, concerns related to liquidity or lack of investor confidence in the underlying securities. In the United States, closed-end funds are referred to under the law as closed-end companies and form one of three SEC-recognized types of investment companies along with mutual funds and unit investment trusts.


  1. closed-end investment company

    A closed-end investment company, also known as a closed-end fund, is a type of investment fund that raises a fixed amount of capital through an initial public offering (IPO), then lists shares for trading on a stock exchange. Unlike open-end funds which stand ready to issue and redeem shares on demand, closed-end funds have a fixed number of shares and do not issue new shares as investor demand grows nor do they redeem shares as demand decreases. The price of a closed-end fund is determined by market demand, not by net asset value. This means shares may trade at a value higher (premium) or lower (discount) than their net asset value.

Matched Categories

How to pronounce closed-end investment company?

How to say closed-end investment company in sign language?


  1. Chaldean Numerology

    The numerical value of closed-end investment company in Chaldean Numerology is: 2

  2. Pythagorean Numerology

    The numerical value of closed-end investment company in Pythagorean Numerology is: 3


Find a translation for the closed-end investment company definition in other languages:

Select another language:

  • - Select -
  • 简体中文 (Chinese - Simplified)
  • 繁體中文 (Chinese - Traditional)
  • Español (Spanish)
  • Esperanto (Esperanto)
  • 日本語 (Japanese)
  • Português (Portuguese)
  • Deutsch (German)
  • العربية (Arabic)
  • Français (French)
  • Русский (Russian)
  • ಕನ್ನಡ (Kannada)
  • 한국어 (Korean)
  • עברית (Hebrew)
  • Gaeilge (Irish)
  • Українська (Ukrainian)
  • اردو (Urdu)
  • Magyar (Hungarian)
  • मानक हिन्दी (Hindi)
  • Indonesia (Indonesian)
  • Italiano (Italian)
  • தமிழ் (Tamil)
  • Türkçe (Turkish)
  • తెలుగు (Telugu)
  • ภาษาไทย (Thai)
  • Tiếng Việt (Vietnamese)
  • Čeština (Czech)
  • Polski (Polish)
  • Bahasa Indonesia (Indonesian)
  • Românește (Romanian)
  • Nederlands (Dutch)
  • Ελληνικά (Greek)
  • Latinum (Latin)
  • Svenska (Swedish)
  • Dansk (Danish)
  • Suomi (Finnish)
  • فارسی (Persian)
  • ייִדיש (Yiddish)
  • հայերեն (Armenian)
  • Norsk (Norwegian)
  • English (English)

Word of the Day

Would you like us to send you a FREE new word definition delivered to your inbox daily?

Please enter your email address:


Use the citation below to add this definition to your bibliography:


"closed-end investment company." Definitions.net. STANDS4 LLC, 2024. Web. 26 Feb. 2024. <https://www.definitions.net/definition/closed-end+investment+company>.

Discuss these closed-end investment company definitions with the community:


    Are we missing a good definition for closed-end investment company? Don't keep it to yourself...

    Free, no signup required:

    Add to Chrome

    Get instant definitions for any word that hits you anywhere on the web!

    Free, no signup required:

    Add to Firefox

    Get instant definitions for any word that hits you anywhere on the web!

    Browse Definitions.net


    Are you a words master?

    standing above others in quality or position
    • A. unsealed
    • B. occlusive
    • C. indiscernible
    • D. eminent

    Nearby & related entries:

    Alternative searches for closed-end investment company: