A tail-end fund is a fund near or past the end of its term, with most of its money returned and a few companies left. Funds often run about ten years plus one- or two-year extensions, and some investors sell what is left to a secondary buyer rather than keep a small stake.
What the video says
In secondaries, a fund can outlive its own deadline. What's left is called a tail-end fund. Say a fund is set up to last ten years. By year ten, most of the money is back. But three companies are still unsold. The manager can extend, often a year or two at a time. Some investors sell what's left to a secondary buyer. So why do investors care? A small stake still brings statements, tax forms and waiting. Selling it ends that. The last years of a fund can belong to someone else.
A simple example with round numbers, not advice. Terms vary by fund.
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