Many mutual fund houses are busy launching closed-ended equity schemes these days. Fund houses such as Canara Robecco, SBI, Sundaram, Kotak and IDFC Mutual Funds have recently launched equity schemes with a lock-in period. Some fund houses are in the process of launching close-ended equity schemes. Why are mutual fund houses in love with close-ended equity schemes suddenly?
“Closed-ended equity schemes have been there earlier as well but we have never recommended them.