The volatile market is scaring some investors and causing them to pull out of funds, but there are some buying opportunities in closed-end funds that aggressive investors might want to look into, according to Dow Jones.Some closed-end-funds are trading at large discounts to their net asset values. Whereas mutual funds and exchange-traded-funds issue any number of shares, closed-end-funds only offer a set number of shares.
Usually, closed-end-funds trade at a small discount to the NAV. However, in the last few weeks the gap has widened. The median discount for all closed-end funds was 6.5% on Aug. 20, according to Lipper, wider than the 4% median discount June 29.