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Financial encyclopediaReviewed 2026-10-23

Mutual Fund Redemptions

Mutual fund shares are redeemable, meaning investors can sell shares back to the fund on any business day. A mutual fund generally must pay redemption proceeds to a shareholder within seven days of receiving a redemption request from the shareholder.

Sources and references ↗
PROFILE / FACT FILE

Concept at a glance

Term
Mutual Fund Redemptions [1]
Subject area
Investor.gov glossary [1]
Jurisdiction / scope
US regulatory and investor-education context [1]
Primary reference
SEC · Investor.gov [1]

Definition and explanation

Mutual fund shares are redeemable, meaning investors can sell shares back to the fund on any business day. A mutual fund generally must pay redemption proceeds to a shareholder within seven days of receiving a redemption request from the shareholder. [1]

Frequently asked questions

What does Mutual Fund Redemptions mean in the cited reference?

Mutual fund shares are redeemable, meaning investors can sell shares back to the fund on any business day. A mutual fund generally must pay redemption proceeds to a shareholder within seven days of receiving a redemption request from the shareholder. [1]

Sources and review dates

  1. US SEC · Investor.gov — Mutual Fund Redemptions ↗

Reviewed 23 October 2026. Historical dates and award-time affiliations retain their original context. A review date is not an event date. Background sources are identified separately from official records.

Content preparation: source-based compilation with AI assistance. See methods and attribution. Named sources identify the underlying records; no individual expert review is claimed.