Is there an upper limit on the share of fund redemption?
Under normal circumstances, there is no limit to the redemption of funds, but if there is a huge redemption, the redemption of fund shares may be restricted.
Generally speaking, large redemption means that on a single open day, when the net redemption application of the fund exceeds 10% of the total fund share, the fund manager can postpone the remaining redemption application, and suspend the redemption application when the redemption acceptance ratio is not less than 10% of the total fund size; Accepted redemption applications can delay the payment of redemption money, but the normal payment time cannot exceed 20 working days.
In addition, some funds have a minimum share limit. If the funds in the account can't reach the minimum share limit set by the fund after the investor redeems, the fund company can directly force the sale to the investor without the consent of the investor.
Fund redemption skills:
1, holding time
The redemption rate of the fund is negatively correlated with the holding time of the fund. The longer the fund is held, the lower the redemption rate is. In particular, if you hold the fund for less than seven days, you need to pay a high redemption fee of 1.5% according to the turnover. Therefore, investors should try to redeem after seven days.
2. The realization of high target income
After reaching the target income of investors, you can redeem the fund before the net value of the fund rises sharply at three o'clock. For example, the target return of investors is 10%, and when the fund reaches 10%, it will be redeemed when the fund valuation rises sharply one day.
3. Fund conversion
If we want to lighten up another fund after redeeming the fund, then we can consider fund conversion at this time, which can reduce our transaction cost and time cost to some extent. But fund conversion can only be carried out in the same fund company. Simply put, the fund you are about to sell and the fund you are about to buy are managed by the same fund company.