What is open-end mutual fond?

As we know it the majority of mutual funds on the market are open-end. The open-end funds don’t have any type of restrictions on the amount of shares the particular fund can issue. If the shares are hot and there’s a great demand for them then the fund will issue more shares to satisfy the investors, it won’t take stop if there are already many investors involved. Also whenever an investor whishes to sell the his shares then the fund will buy it back from him. By selling and buying shares the investors will have a very useful tool in their hand for investments. In case the manager decides that the fund’s total assets have become too large then he might close down transactions for new investors and in extreme cases he would close down transactions for old investors also.