A large number of fund redemptions will affect the net value. In the short term, the redemption fee charged for the fund shares of Class A funds with a holding period of less than 30 days will be fully included in the fund property. 2. For the fund shares of Class A funds with a holding period of more than 30 days but less than 3 months, 75% of the redemption fee will be included in the fund property, so when the redemption fee is included in the fund assets, the net value of the fund will rise and the fund will make money.
In the long run, the fund may fall, because when the fund encounters a large number of redemptions, the fund manager may sell the stock, resulting in a decline in the stock price. When the stock price falls, the net value of the fund will fall. If investors are eager to redeem the fund's stop loss, when more people redeem it, it may cause huge redemption. On the whole, it is not conducive to the increase of the fund's net value, and the fund's net value may fall, which will affect the fund's income and investors may lose money.
Under normal circumstances, it will basically not affect the normal operation of the fund, but if large-scale redemption does lead to passive jiacang, the fund manager will face the pressure of changing positions. When the fund's cash reserve is insufficient to pay the redemption fee, it may lead to a sharp rise or fall in the fund's net value, thus affecting the fund's income.