Which funds are free of handling fees
Fund handling fees include subscription fees, redemption fees, management fees, custody fees and sales service fees, among which management fees and custody fees Almost every fund product charges fees, so we won’t consider them for now. The main differences in fund trading fees are subscription fees, redemption fees and sales service fees.
1. Monetary funds
Monetary funds are generally free of charge for buying and selling, but certain management fees, custody fees and sales service fees will be charged. However, these fees have already been deducted from the net value of the fund, and no additional deductions are required when subscribing or redeeming.
So money funds are basically free of handling fees, and timely and frequent subscription and redemption operations will not increase transaction costs.
2. Category C Funds
Some bond funds, stock funds and hybrid funds are divided into Category A and Category C based on different fee collection rules, such as Huashang Convertible Bond Bond A and Huashang Convertible Bond Bond C.
Category funds do not charge subscription fees, and redemption fees are charged based on the number of days they are held. The longer the number of days they are held, the lower the redemption rate. If you hold it for a certain period, the redemption fee is waived. For example, Huashang Convertible Bond C is exempt from redemption fees if held for 30 days or more.
In addition, Class C funds require a certain percentage of sales and service fees, but like monetary funds, the sales and service fees have also been deducted from the net value of the fund. Therefore, Class C funds can also be regarded as fee-free funds after being held for a certain period.
I hope the above information on which funds are free of charge will be helpful to everyone. Warm reminder, financial management is risky, so investment needs to be cautious.