A Closed-End Investment Company's Shares Cannot Sell for a Discount

question 21

True/False

A closed-end investment company's shares cannot sell for a discount from net asset value.

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Definitions:

Horizontal Privity

A legal term referring to a relationship between entities at the same level of operation, often used in property and contract law to describe certain kinds of relationships relevant to the transfer of rights or obligations.

Breach Of Warranty

The failure to fulfill the terms of a promise or guarantee made about the quality, condition, or performance of a product or service.

Seller

An individual or entity that offers goods or services for sale to consumers or other businesses.

Express Warranty

A seller's explicit promise or guarantee about the condition or quality of a product.