Fund management fee: the fund entrusts experts to manage money and should be paid to experts, that is, the fund company has a certain management fee. At present, the annual management fee in China is generally between 0.3- 1.5%, which varies according to the investment objectives and the difficulty of management.

The fund custody fee refers to the fee charged by the fund custodian to provide services for the fund.

The collection method of fund management fee is different from sales fee and redemption fee. The latter two expenses are paid when buying and selling the fund or deducted from the redemption money, and the management fee is deducted from the fund assets. In practice, it is generally calculated every day and deducted from the net value of the day, and investors do not need to pay extra money.

Custody fees are usually drawn according to a certain proportion of fund assets, calculated and accumulated daily, and paid to the custodian at the end of each month. This fee is also paid from the fund assets and does not need to be charged to investors separately. The custody fee of the fund is included in the fixed cost. The proportion of fund custody fees is related to the size and location of the fund. Usually, the larger the fund scale, the lower the fund custody fee rate.

Calculation formula of custody fee for extended reading fund:

H = e× 0. 15% ÷ number of days in a year.

H is the daily fund custody fee.

E is the net asset value of the fund on the previous day.

The collection of fund custody fees has a certain relationship with the scale and location of the fund. Usually, the larger the fund, the lower the fund custody fee. The more developed the fund industry, the lower the fund custody fee rate, and the higher the fund custody fee rate in emerging market countries and regions. The international custody fee rate is usually around 0.2%. The current annual rate of fund custody fee in China is 0.25%.