Which of the following terms are associated with the purchase/redemption of open-end investment company shares?

By Investopedia AAA
A:

A) Forward pricing
B) Current business day close
C) At the money
D) 90-day backdating






The correct answer is A.

Forward pricing is the SEC Rule that requires all transactions in open-end investment company shares to be based on the next calculation of the fund's Net Asset Value (NAV).



RELATED FAQS

  1. What is the difference between a prospectus and summary prospectus?

    Learn about the differences between the summary prospectus and statutory, or full, prospectus, and discover what mutual fund ...
  2. What can cause an asset to trade above its market value?

    Learn some of the factors that can affect the price of an investment asset and the major reasons why an asset might trade ...
  3. What are the SEC regulations regarding stock splits?

    Learn what SEC regulations govern stock splits and reverse stock splits, and understand what type of notice must be given ...
  4. Does investing in small cap stocks have advantages over investing in big cap stocks?

    Learn about the advantages of investing in small-cap stocks, and find out why some investors buy shares in small-cap rather ...
RELATED TERMS
  1. Appraised Equity Capital

    The excess of the market value of an asset over its book value. ...
  2. Asset Valuation Review (AVR)

    A process that establishes an estimate of the value of a failed ...
  3. Derived Investment Value (DIV)

    A valuation methodology used to calculate the present value of ...
  4. Comprehensive Automated Risk Data System (CARDS)

    The Comprehensive Automated Risk Data System (CARDS) is an initiative ...
  5. On-Balance Volume (OBV)

    A momentum indicator that uses volume flow to predict changes ...
  6. StockCharts Technical Rank (SCTR)

    A technical ranking for stocks within a group, created by John ...

You May Also Like

Related Articles
  1. Charts & Patterns

    Why These Could Be 2015's 10 Best Biotech ...

  2. Charts & Patterns

    Why These Could Be 2015's 10-Best Media ...

  3. Stock Analysis

    Is This Dividend Stock A Value Or Value ...

  4. Charts & Patterns

    Why These Could Be 2015's 10-Best Pharma ...

  5. Charts & Patterns

    Why These Are 2015's 10-Best Financial ...

Trading Center