The money of graded fund B is lent to it by graded A for high-risk investments. Graded A thus obtains fixed income. If the graded fund is cancelled, fund A may have no fixed income or the fixed income may come from other sources. The specific location depends on the policy announcement.

Customers who like to pursue high leverage returns may switch to investment products, such as futures and options. If AB funds are calculated based on net value, once the policy of canceling grading comes out, investors who trade at premiums may worry about the decline in net value. Selling shares will have certain negative effects on Fund B.

Extended information:

Notes:

China's economy continues to grow rapidly and residents' incomes steadily increase, objectively providing huge development for the fund market to expand business. space. The rapid development of the fund industry is conducive to broadening the investment channels for ordinary residents. By entrusting deposits to fund management teams composed of professional investment personnel, ordinary residents without professional knowledge and skills can enjoy the benefits brought by the growth of the stock market. interests while avoiding taking excessive risks.

Although funds have become the second largest choice of financial assets for Chinese residents, their scale is still very limited compared to the huge savings. Therefore, my country's fund industry still has great development potential and space.

People's Daily Online - The hierarchical fund will end at the end of the year, with only 65 units awaiting rectification