Closed-end mutual funds are somewhat similar to corporations
because they issue fixed numbers of shares.
This doesn’t fluctuate,
with the exception of when a new stock may be issued. The funds
may issue bonds or preferred stock to support the common shareholders’ positions. They then use their capital and other resources to
invest in other companies’ securities. Closed-end funds are not
nearly as common as open-end funds.
Closed-end funds’ shares are bought and sold at market like other
mutual fund shares and shares of stock