How often do mutual funds typically sell their shares?

Mutual funds typically sell their shares on a daily basis, allowing investors to buy or redeem shares at the end of each trading day. The net asset value (NAV) of the mutual fund is calculated at the close of the market, and this value determines the price at which investors can purchase or sell shares. This daily pricing makes mutual funds accessible and convenient for investors who may wish to enter or exit their investments regularly, depending on market conditions.

In contrast, options like selling shares once a year or only during specific market hours do not apply to mutual funds, as their transactions occur daily and not limited to a set schedule. Additionally, while investors can decide when to transact, the frequency is not dictated by their desire alone but by the structure of how mutual funds operate. Therefore, the characteristic of being able to transact daily aligns with the correct answer in this context.