Mutual Funds (Open-End)
Investment companies that continuously issue and redeem shares at net asset value (NAV); orders are priced at the NEXT calculated NAV (forward pricing), and shares are redeemed by the fund itself, not traded between investors.
NAV = (assets − liabilities) ÷ shares outstanding, computed after the market close. Funds offer diversification and professional management under the Investment Company Act of 1940, which also defines the open-end/closed-end/UIT structures.