b'05Key Features Open-end funds are subject to Rule 22e-4 Investors can redeem shares at any time of the 1940 Act, which limits them to invest- directly with the fund, at NAV.ing no more than 15% of assets in illiquid securities.The flexible redemption processmakes open-end funds highly liquid Rule 22e-4 ensures funds maintain enoughand investor-friendly.liquidity to meet daily redemption requests, but it reduces diversification by restricting However, the need to meet daily redemp-access to less liquid asset classes. tion demands may force managers to sell assets at unfavorable times, potentiallyUnlike interval or tender offer funds, hurting fund performance.there are no restrictions on redemptiontiming or amountshareholders may sellControlled-liquidity vehicles like interval as much or as little as they wish. and tender offer funds avoid this drawback by limiting redemption opportunities.AttributesStructure & Registration Asset Fit Registered under the 1940 Act.Broad exposure to liquid public markets. Continuously offers shares; diversified portfolio.Better for diversification and liquidity thanilliquid strategies.Time to MarketNot suited for illiquid private credit or real estate assets.Six months, depending on structure.Liquidity Fees Daily NAV. Typically lower management fees versus alternatives (0.251%). Must maintain sufficient liquid assetsSales loads possible (subject to FINRA limits).(Rule 22e-4 limits illiquid holdings to 15%). No incentive fees.Eligible InvestorsOpen to all investors; widely accessible.Mayer Brown|Open-End Funds 20'