If you often pay attention to the explosive funds of various fund platforms, you will find that some of them are short-term funds, and their performance has skyrocketed in the short term.
There was once a fund, Pioneer Quantitative Optimization Mix A, whose net value soared by 4,500% on July 3 last year. What is the reason?
The fund may have a large redemption, and the huge redemption fee is included in the fund assets. The redemption fee is included in the fund assets in different proportions, some in full, some in 50% and some in 25%. After a large redemption, the share of shared income will be reduced, and the redemption fee will be included in the fund assets, which will lead to a substantial increase in the net value.
It may be caused by the accuracy error of the net share value. The calculation of the net share value is accurate to three decimal places, and the fourth decimal place is rounded off. The resulting error is included in the fund property, resulting in a large fluctuation of the net share value.
Maybe the fund paid dividends. Reducing the net value of funds through dividends is the normal operation of the market. The net fund value rose from 1 yuan to 2 yuan. In order to reduce the net value, the fund with a net value of 1 yuan is given to investors. If you set up a cash dividend, the dividend money will go directly into your account. If you set up dividend reinvestment, it will be directly converted into fund shares and enter your position.
From the historical data, the vast majority of funds with soaring net worth come from micro-products of small companies, and funds with too small investment scale are at greater risk of liquidation.
If institutions account for a large proportion at the same time, once the institutions are withdrawn, the scale of funds will suddenly shrink sharply, and some funds will be left from several hundred million to two million.
For such funds, try to avoid them before buying, and don't take any chances to participate in such funds, even if they skyrocket in the short term.