Which statement about investment companies is FALSE?
A. An open end fund is a type of management company
B. A closed end fund is a type of management company
C. Closed-end fund shares trade throughout the day
D. Open-end fund shares trade throughout the day
D. Open-end fund shares trade throughout the day
Management companies are either open-end or closed-end. Either has an investment manager, managing the fund based on a stated investment objective.
An open-end management company is a mutual fund. Mutual funds (open-end funds) are "open" to new investment. Shares are issued and redeemed at the end of the day and do not "trade."
A closed-end management company is "closed" to new investment. It has a 1-time share offering under a prospectus, and then the shares are listed and trade like any other stock.
You might also like to view...
What are the correct formulas for cells B2 and B3?
a) =B1/(1-B1) and =1/(1-B1)
b) =B1/(1+B1) and =1/(1+B1)
c) =B1/(1+B1)^2 and =1/(1+B1)^2
d) =B1/(1-B1)^2 and =1/(1-B1)^2
e) =B1/(B1-1) and =1/(B1-1)
Under the UCC, good faith means honesty in fact and the observance of reasonable commercial standards of fair dealing in the trade
Indicate whether the statement is true or false
The National Labor Relations Board (NLRB) is a quasi-judicial agency.
Answer the following statement true (T) or false (F)
Lacey files a suit in Michigan against Ned over the ownership of a boat docked in a Michigan harbor. Lacey and Ned are residents of Ohio. Ned could ask for a change of venue on the ground that Ohio
A. has a sufficient stake in the matter. B. has jurisdiction. C. has sufficient minimum contacts with the parties. D. is a more convenient location to hold the trial.