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What do you mean by fund discount?
B fund discount refers to an operation mode that an existing fund share is divided into several small shares and distributed to investors at a lower price. Discount is usually due to the high net value of the fund, which makes the price of a single share too high, which is not conducive to the participation of small investors. Therefore, the discount can promote more investors to participate in the fund and make the fund scale grow rapidly.

When the fund company discounts, it needs to meet certain conditions before it can be implemented. First of all, the net value of the fund should be relatively high, so that the price of each small share will not be too low. Secondly, fund companies need to have certain liquidity, that is, sufficient cash reserves to meet the needs of a large number of share segmentation and redemption. At the same time, fund companies also need to consider a series of factors such as fees, taxes and market environment. , before you can determine whether to perform the discount operation.

For investors, the discount of fund B means that they can participate in the fund more conveniently and allocate their own funds more reasonably. Because the price of each fund share is lower, it is easier for small investors to enter the market. Of course, investors also need to pay attention not to blindly pursue low prices, but to comprehensively consider the investment risks, returns and other factors of the fund and make reasonable investment decisions.