Discount rate = (unit net share-unit market price)/unit net share. According to this formula, when the discount rate is greater than 0 (that is, the net value is greater than the market price), it is a discount, and when the discount rate is less than 0 (that is, the net value is less than the market price), it is a premium. In addition to investment objectives and management level, discount rate is an important factor in evaluating closed-end funds. Foreign methods to solve the large discount of closed-end funds include: closing to opening, fund liquidation in advance, fund tender offer, fund share repurchase, fund management and distribution, etc. For example, the market price of a closed-end fund in 0.8 yuan is 1.20 yuan, which means its discount rate is (1.20-0.8)/1.20 = 33.33%. When investing in closed-end funds, pay attention to choosing funds with large discount rate. Because closed-end funds should be paid or liquidated according to their net value after the operation expires, the higher the discount rate, the greater the potential investment value. In principle, we should choose "excellent combination, high discount rate, small plate and close to maturity" arbitrage.