Wallach Beth's trading director on CEF liquidity and execution

Michael Beth, director of trading at WallachBeth Capital, says that for all of the growth in the closed-end fund space, the amount of trading done each day is relatively small compared to other investment vehicles, which creates challenges for investors to get efficient execution on trades. Beth notes that conditions can make it so that an investor trying to buy a fund at a 10 percent discount could see as much as one-tenth of that benefit wiped out if 'the implicit cost of execution' meets with poor execution.