In which of these funds does the portfolio of assets generally remain unchanged?
A)Closed-end funds and unit investment trusts
B)Exchanged traded funds and HOLDRs
C)Closed-end funds and open-end trusts
D)Exchange traded funds and unit investment trusts

Question

Quizplus · Accepted Answer

Closed-end funds and unit investment trusts typically have a fixed portfolio of assets that generally remains unchanged over time. Closed-end funds issue a fixed number of shares that are traded on stock exchanges, and their portfolio is managed but not frequently changed. Unit investment trusts (UITs) offer a fixed portfolio of securities in a one-time public offering, and these securities are held until the trust is terminated, without active management or trading.

In Which of These Funds Does the Portfolio of Assets