https://v2.webnotes.in/tags/close-interval-open-ended/Recent content in Close-Interval-Open-Ended on WebNotesHugoen-INTue, 19 May 2026 00:00:00 +0000https://v2.webnotes.in/close-interval-open-ended/Tue, 19 May 2026 00:00:00 +0000https://v2.webnotes.in/close-interval-open-ended/<p>Indian mutual funds are categorised by <strong>trading structure</strong> into open-ended, close-ended, and interval schemes. The classification refers to how investors can transact (subscribe / redeem) with the scheme: open-ended schemes are continuously open, close-ended schemes are fixed-tenure with limited subscription windows, and interval schemes are open at periodic intervals.</p> <h2 id="open-ended">Open-ended</h2> <ul> <li>Continuous subscription and redemption.</li> <li>T+1 to T+3 settlement per scheme category.</li> <li>Most Indian MF schemes are open-ended.</li> <li>Daily NAV.</li> </ul> <h2 id="close-ended">Close-ended</h2> <ul> <li>Fixed tenure (1 to 5 years typical).</li> <li>Subscription only during NFO.</li> <li>Redemption only at maturity (or via secondary-market exchange listing).</li> <li>Lower TER typically.</li> <li>Examples: Fixed Maturity Plans (FMPs).</li> </ul> <h2 id="interval">Interval</h2> <ul> <li>Periodic open windows for subscription / redemption (monthly / quarterly).</li> <li>In between, scheme is closed.</li> <li>Less common than open-ended or close-ended.</li> </ul> <h2 id="use-cases">Use cases</h2> <h3 id="open-ended-most-common">Open-ended (most common)</h3> <ul> <li>Standard equity, debt, hybrid schemes.</li> <li>SIP / SWP / STP capability.</li> </ul> <h3 id="close-ended-1">Close-ended</h3> <ul> <li>Specific tenor-matched debt strategies (FMPs).</li> <li>Specialised equity strategies with fixed-period theme.</li> </ul> <h3 id="interval-1">Interval</h3> <ul> <li>Niche operational rationale.</li> </ul> <h2 id="sebi-framework">SEBI framework</h2> <p>Per <a href="https://v2.webnotes.in/sebi-mutual-fund-regulations-1996/">SEBI (Mutual Funds) Regulations 1996</a> , all three structures are permitted with specific operational requirements.</p>