Can the fund be redeemed at any time?
Whether the fund can be withdrawn at any time depends on the type of fund purchased by investors. Funds are divided into open-end funds and closed-end funds. If it is an open-end fund, it can be redeemed at any time during the fund trading hours. If it is a closed-end fund, it needs to wait until the end of the closed period to enter the open period.
Open-end fund:
Open-end fund refers to a fund in which investors can purchase and redeem their shares at any time. Investors can buy and sell funds at any time according to their own needs, which is very flexible.
Closed-end fund:
Closed-end fund means that after the fund raising period is over, no new investors will be accepted, and investors cannot redeem their shares at any time. Investors can only trade within the agreed time period.
Fund trading hours: Monday to Friday, 9: 00 am-1:30 am, afternoon13: 00 am-15: 00 am, and closed for trading on weekends and legal holidays.
What are the restrictions on fund redemption?
1, maximum redemption amount
Fund companies generally limit the redemption amount of funds, that is, the maximum amount that investors can redeem every day or week. If the redemption amount of investors reaches the upper limit, they need to be redeemed in batches or wait until the next trading day. The purpose of setting the redemption amount limit is to prevent the problem of insufficient capital turnover caused by excessive redemption by investors.
2. Handling fee restrictions
Fund redemption requires a certain redemption fee, which is generally determined according to the time when investors hold the fund or the redemption amount. The longer the fund is held, the lower the redemption fee, even 0.
3. Limitation of settlement cycle
After the investor redeems, the fund company needs to settle and liquidate the fund. Generally, this process takes about 1 trading day or longer, depending on the relevant regulations and location of the fund company.