What exactly does a money fund mean_The difference between a money fund and a general fund
Money funds mainly invest in the money market and do not invest in the stock market, so the risks are relatively small and the returns are relatively stable. Most conservative investors prefer buying currency funds. So what exactly does a monetary fund mean? The editor will answer your questions below.
What exactly does a money fund mean?
A money fund is an open-end fund that mainly invests in short-term, low-risk, high-liquidity financial instruments. Its goal is to keep the net value of the fund's assets basically stable and provide relatively low risk and high liquidity.
What are the differences between money funds and ordinary funds?
Investment targets: Money funds mainly invest in short-term financial instruments, such as deposits, short-term bonds, bills, bank certificates of deposit and other low-risk fixed income tool. General funds may invest in stocks, bonds, futures and other assets.
Risk and return: The risk of money funds is relatively low, because its investment targets are mainly low-risk short-term debt instruments, and its returns will be relatively low. The risks and returns of general funds depend on specific investment strategies and market conditions, and may have higher volatility and potential returns.
Net value changes: Monetary funds pursue the stability of the net asset value, which is usually maintained within the range of 1 yuan or a stable net value. The net value of general funds will change with the price fluctuations of investment targets, and may have greater volatility.
Investment period: The investment period of currency funds is relatively short, and investors can redeem them at any time and enjoy high liquidity. Ordinary funds may have a longer investment period, and investors need to redeem according to the redemption provisions stipulated in the fund contract.
Risk tolerance: Due to the lower risk and higher liquidity of currency funds, they are generally suitable for investors with lower risk tolerance and who pursue more stable returns. General funds have higher risks and volatility and are suitable for investors with higher risk tolerance.
Is it necessary to buy money funds?
This varies from person to person. If you want to manage money and make money, then it is necessary. If you don’t want to manage money and make money, then there is no need. Money funds Although the income will not be very high all of a sudden, there are basically few losses. The income is relatively stable, and the risk is relatively low.
In addition, the liquidity of money funds is relatively good. You can deposit and withdraw at any time, which is very convenient. When buying, you can look at the past performance of money funds and try to choose funds with good past performance. Yes, although past performance does not represent the future, it will still provide a certain reference.
Funds bought at 6pm will be calculated on which day
If the fund is bought at 6pm on a trading day, then it will be calculated on day T+2, that is, it will be calculated on the second day. The net value is calculated at the close of each trading day, the share is confirmed on the third trading day, and the income is calculated after the share is confirmed.
Generally speaking, the trading hours of the fund are: Monday to Friday 9:30-11:30 am and 13:00-15:00 pm. It is worth noting that statutory holidays and Saturdays and Sundays There is no trading on the day, and the trading time point is based on three o'clock in the afternoon. If it is calculated based on the net value at the closing of the day of purchase, then the share will be confirmed on the second trading day, and the income will be calculated after the share is confirmed.
If the fund is purchased after 3 pm on the trading day, the net value will be calculated based on the closing price of the second trading day. The share will be confirmed on the third trading day, and the income will be calculated after the share is confirmed.
How many days does it take to transfer funds to Yu’e Bao?
There are many types of funds, and the time required to transfer funds to Yu’e Bao is different for each type. Alipay The funds inside can generally be divided into: currency funds, bond funds, hybrid funds, stock funds, index funds, and QDII funds. Among them, currency funds, bond funds, hybrid funds, stock funds, and index funds are generally transferred out to Yu'E Bao. +Deposit within 1 day.
To give a simple example: Suppose an investor purchases a stock fund. If the transfer application is made before 15:00, then the account will be received before 24:00 on the next trading day. It is worth noting that the trading days of the fund refer to Monday to Friday, excluding Saturdays, Sundays and holidays.
If you apply for transfer before 15:00 on Friday, you will have to wait for the transfer to arrive before 24:00 on the following Monday. The premise is that the next Monday is not a holiday and is also a trading day, but if it is From Monday to Thursday, the funds are generally received before 24:00 on the next day. Therefore, if you want funds to be transferred to Yu'e Bao quickly, it is best to avoid Saturdays, Fridays, Sundays and holidays.
However, it is worth noting that the time it takes for QDII funds to arrive in Yu'e Bao is generally relatively slow. It depends on the fund regulations. It usually takes 4 to 10 working days to arrive. When purchasing the fund , pay attention to the fund details, they are usually written down.