An INVESTMENT COMPANY that raises CAPITAL by issuing a limited number of shares on an EXCHANGE, and invests proceeds in a range of ASSETS on behalf of investors. Once the initial PORTFOLIO of assets is assembled no new securities are added and few, if any, are sold prior to final maturity. The fund generally provides investors with a fixed return and typically allows no redemptions prior to the stated maturity. Closedend funds often invest in BONDS or other assets that are ILLIQUID or difficult to price. See also MUTUAL FUND. Also known as INVESTMENT TRUST, UNIT INVESTMENT TRUST.