In the process of investing in funds, investors often find that individual funds indicate the words to suspend subscription or limit the maximum subscription amount. In fact, this is the normal operation of the fund, so why does the foundation suspend or restrict the subscription?

In order to protect the rights and interests of fund investors, the CSRC stipulates that fund management companies may suspend accepting customers' requests to purchase funds under special circumstances, including but not limited to:

(1) Force majeure such as natural disasters and wars;

(2) The stock exchange is abnormally closed during trading hours;

(3) The scale of fund assets is too large, which makes it impossible for fund management companies to find suitable investment varieties;

(4) It may harm the interests of existing fund holders;

(5) Insufficient technical support or personnel support from fund managers, fund custodians, fund sales agents, registrars and transfer registrants.

In fact, many fund products are restricted or suspended for the protection of scale stability, and excessive scale growth or fluctuation will adversely affect the operation of fund managers. Therefore, generally speaking, the suspension or restriction of fund subscription is mainly to protect the interests of fund holders.