Definition, Meaning & Synonyms

open-end

adjective

ˈoʊ.pən.ɛnd

Definition

An open-end refers to a type of investment vehicle or arrangement that does not have a predetermined maximum limit on the amount of capital it can receive or the number of investors it can accept.

Examples

The mutual fund has an open-end structure, allowing new investors to buy in at any time.
In an open-end lease, the car rental company allows the lessee to drive the vehicle without a predetermined mileage limit.

Meaning

An open-end structure allows continuous buying and selling of shares or units, unlike closed-end structures, where a fixed number of shares are issued.