The so-called annualized rate of return refers to a calculation method of converting the income of investment varieties into annual interest rate during the calculation period. According to the concept of this term, any kind of investment has the concept of annualized rate of return, so the fund you mentioned has this concept. The annualized rate of return is divided into compound interest income and simple interest income. Compound interest rate refers to the rate of return obtained by compound interest growth during the calculation period, and simple interest rate refers to the rate of return without compound interest every year. Generally speaking, China refers to the simple rate of return, while western countries refer to the compound interest rate of return. For investment varieties, this index can be positive or negative. Positive refers to profit rate and negative refers to loss rate.

For example, if you hold a fund for two years and invest 1 1,000 yuan, the income during this period is 200 yuan, and its annualized rate of return is 10%, that is, 200/ 1 = 0. 1, that is, 10%.

If calculated by compound interest income, it is 9.54%.