In the process of fund investment, it is inevitable to come into contact with some technical terms. For fund investment novices, it is essential to understand these basic knowledge for fund investment. So what does the fund split conversion mean? Let's get to know each other.

What does the split conversion of the fund mean?

The so-called fund split refers to changing the corresponding relationship between the net fund share and the total fund share while keeping the total assets of fund investors unchanged, which is a way to recalculate the fund assets. Under normal circumstances, after the fund is split, the investment portfolio and fund manager remain unchanged, the fund share will increase, and the net value of the fund unit share will decrease.

Suppose an investor holds 20,000 shares of the Fund, and the net value of the unit fund share is 2 yuan, then the fund assets are 40,000 yuan; If it is split according to the ratio of 65,438+0: 2, the fund shares held will become 40,000, the net unit fund shares will become 65,438+0 yuan, and the total fund assets will remain unchanged at 40,000 yuan.