What are special asset funds and mixed asset funds?

A special asset fund invests more than 50% of its assets in assets other than securities and real estate; because its range of investment targets is broad, it is easy to create new products.

A mixed asset fund is not subject to minimum investment ratios for securities, real estate or special assets. Because the assets of both types can be difficult to value fairly, they must in principle be set up as closed-end funds, although they may be open-end if they invest only in marketable assets.