Under what circumstances will the fund be liquidated?
1. The number of fund share holders is below 100 for 60 consecutive days.
2. In these 60 days, the total net assets of the fund have approached or fallen below 50 million.
3. Without liquidation protection, when the fund is below 0.3 yuan, it will automatically enter the liquidation procedure.
What about retail investors when the fund is liquidated?
After the fund is liquidated, the funds will be returned to the shareholders. The fund is managed by the bank as a third party and shall not be used for other purposes. After the fund is liquidated, the bank will return some funds according to the fund share. However, the liquidation process of funds is relatively long. After the liquidation, users need to obtain funds within a certain period of time. During this period, the income will be calculated according to the bank deposit interest rate.
When the fund is liquidated, users will lose money in most cases, but users should not be depressed. They can use their funds to buy some excellent funds and make huge profits to make up for their losses. Capital settlement is relatively rare, so users need not worry too much. If you are really worried about fund liquidation, you can choose some popular funds, such as those that have won the Golden Bull Award before, but there are many types of funds and the risks are not the same. Users should choose a fund that gives consideration to personal stability and don't blindly follow suit.