Open-end mutual funds do not trade on secondary markets. Instead, shares are continuously issued or redeemed by the fund at the net asset value (NAV), calculated at the market close.
D is correctbecause investors purchase and redeem shares directly through the fund or authorized brokers.
Ais incorrect because mutual funds do not have a predetermined dissolution date.
Bis incorrect because mutual fund shares are priced at the NAV calculated once daily after the market closes.
Cis incorrect because secondary market trading applies to closed-end funds and ETFs, not open-end mutual funds.
[Reference:Investment Company Act of 1940; SIE Study Guide, Chapter 5, ]
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