Whether the discount rate of funds is positive or negative mainly depends on how we operate. When the discount rate is negative, it means that the market price of the fund is lower than the net value. Investors can buy the fund in the secondary market and then apply for redemption outside the market to earn risk-free spreads. If the discount is positive, it means that the market price of the fund is higher than the net value. Investors can buy the fund in the market and then sell it in the secondary market to earn a risk-free price difference.
1. What does the fund discount rate mean?
To know what is the fund discount rate, we must first understand what is the fund discount rate. According to different investment channels, funds can be divided into on-site funds and off-site funds, which we are all familiar with. On-site funds are traded in the secondary market, similar to stocks, and their prices change in real time. OTC funds are redeemed in banks, Tiantian Fund, Alipay and other institutions. During the trading day, the net value of the fund will only change once, calculated according to the closing price. Then closed-end funds can be purchased off-site or traded on-site, which leads to price differences. When the transaction price of closed-end funds in the secondary market is lower than the actual net value, this situation is called "discount". From this, the rate of the fund can be calculated, and the specific formula is as follows. Discount rate = (unit share net value-unit market price)/unit share net value According to this formula, we can know that when the discount rate is greater than 0, that is, when the net value is greater than the market price, it is a discount, and when the discount rate is less than 0, that is, when the net value is less than the market price, it is a premium.
It is normal for closed-end funds to have a discount rate. However, in the first decade of the stock market, there will be a state of net NAV 20 yuan and market price 60 yuan premium. There is no discount rate at this time, only premium rate. According to the experience at home and abroad, it is normal for closed-end funds to discount their trading prices. In addition to investment objectives and management level, the discount rate of closed-end funds is an important factor to evaluate closed-end funds, and investors with high discount rate of closed-end funds have certain investment opportunities. As for open-end funds, the discount rate is always zero. Because the market price of open-end funds is based on the net value, the net value NAV is 20 yuan, and the market price is 20 yuan, so there will never be a discount.