Transfer Agent
Definition
What is Transfer Agent?
A service provider that maintains investorA person or organisation that commits capital with the expectation of a financial return. records and processes subscriptions, redemptions, and transfers.
Example in practice
How This Looks in Practice
The transfer agent updates an investor's unit balance after a redemptionThe process of selling fund units back to the fund in exchange for cash..
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Related Terms
Collective Investment Scheme
A regulated arrangement that pools investors' money for investment according to a common objective.
Fund Structure & RegulationOpen-Ended Fund
A fund that can create or cancel units as investors subscribe and redeem.
Fund Structure & RegulationClosed-Ended Fund
A fund with a relatively fixed number of units that investors usually trade with one another.
Portfolio MetricsAsset Allocation
The percentage of a portfolio invested across asset classes such as cash, bonds, shares, and property.