Closed-End Fund Trading Strategy (Video, Rules, Setup, Backtest)

Did you know that closed-end funds (CEFs), a category of investment instrument, have existed for more than a century? Because of its long history, closed-end funds are a popular investing vehicle. But did you know that you can also make a closed-end fund trading strategy?

A closed-end fund trading strategy aims to buy low and sell high by using the discount or premium to the net asset value. We show you how in our backtest.

This article will offer insightful tips and helpful advice on using CEFs as part of your arsenal of trading strategies, whether you’re an experienced trader or new to CEFs. We end the article with a backtest of a closed-end fund trading strategy.