In fund investment, the risk of money fund is the lowest, and the income is not high but relatively stable. So, is the money fund suitable for long-term holding? What's the difference between money funds A and B? With regard to this knowledge, Xi Caijun has prepared relevant contents for your reference.

is the money fund suitable for long-term holding?

For conservative investors, money funds are suitable for long-term holding. The risk of money fund is low, the possibility of loss is not great, and it is held for a long time. With the increase of time, the volatility of the fund is smoothed out, and the probability of loss is even smaller.

If investors are pursuing higher returns, money funds are not suitable for long-term holding. The yield of the money fund is not high, and the daily income of ten thousand shares is about .4-.9 yuan. If you buy a 1, fund and hold it for one year, the annual income is only .9×365=328.5 yuan, calculated by the highest .9 yuan.

what's the difference between money funds a and b?

In money funds, the difference between A and B mainly lies in the difference of investment threshold and sales service rate.

1. Class A monetary funds: the subscription threshold is low, and they are generally purchased in 1 yuan or 1 yuan, mostly retail investors and amateur investors, and the sales service fee of funds is generally .25%. Reserve a share of less than 1 million as a class A monetary fund.

2. Category B monetary fund: the subscription threshold is relatively high, and it usually starts from one million, mostly professional investors and institutional investors, and the sales service fee of the fund is generally only .1%. It is generally required that the fund share should be above 1 million.

the management rate of class a monetary fund is average, while that of class b monetary fund is low, but the customized transactions given by class b monetary fund to professional and institutional investors are not enjoyed by class a.