An interval fund is a registered closed-end fund that offers to buy back a set share of its shares, between 5% and 25%, at regular intervals such as quarterly. Common holdings include private credit and real estate debt.
What the video says
In real estate, a fund can promise to buy you out, one slice at a time. It's called an interval fund. Every quarter, it offers to buy back a set share, between five and twenty-five percent. Say this one offers five percent. But investors ask to sell ten. So each gets half of what they asked. It also sells new shares all the time, at its net asset value. It often holds private credit, or real estate debt. So why do investors care? Everyday investors can hold less liquid assets, with a limit on how much can leave. You can leave on a schedule, in slices.
In the glossary: Interval fund
A simple example with round numbers, not advice. Terms vary by fund.
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