After the establishment of the new fund, it will often attract many people's attention. After all, everyone has the psychological function of liking the new and hating the old. Moreover, when the new fund is established, the price is very cheap and investors can buy it at low cost. However, after the establishment of the new fund, there will only be a closed period, which means that investors can't buy or sell, and funds can't flow. Then why is there a closed period for the establishment of the new fund and how long?

How long will the new fund be closed?

The closing period of new funds is generally three months. According to the provisions of the Securities Investment Fund Law, the closed period of the fund shall not exceed three months. Closed period is a period that open-end funds must go through, that is to say, the establishment of new funds has closed period. As for how long the closure period is, it will be explained in the recruitment announcement.

The closed period of new fund refers to the time when the fund manager can't accept the subscription and redemption business within the time limit stipulated in the fund contract and prospectus in the initial stage of the establishment of open-end fund. During the closed period, investors can't redeem their shares or make up their positions, which means that the fund size remains unchanged during the closed period.

Is there any income from the closure of the new fund?

Money funds and bond funds are profitable in the closed period after their establishment, but because they are in the open period, the income will be relatively low. The closed period after the establishment of new equity funds may not be profitable. If the stock market falls during the opening period, it is not profitable. Maybe after the closure period, the net value will be lower than 1 yuan, which is actually a loss.

After reading the above introduction, I believe everyone has a deeper understanding of how long the new fund will be closed. The subscription price of new funds is generally 1 yuan, but we don't want to buy them cheaply, because the risk of buying new funds is greater than that of buying old funds, and there is no historical performance to find.