What is the difference between on-site subscription and on-site subscription?
1, the buying time is different.
Buying an old fund that has passed the collection period and is in the process of normal operation is called subscription; Buying a new fund with a net value of 1 during the raising period is called subscription.
2. Different interest rates
The purchase cost of the subscription period is higher than that of the subscription period. This is because in the early days, fund companies made a certain degree of profit in order to raise a relatively large scale. At the same time, the subscription of the new fund has a closed period of 1-3 months, during which the risk is unknown, so the fund company adopts a lower rate as compensation.
3. Different liquidity
When investors buy new funds with subscription period, they will definitely go through a closed period of not less than 1 month and not more than 3 months. At this stage, investors can't redeem funds, and the liquidity of funds is poor. On the contrary, investors who purchase subscription funds can, in theory, redeem the funds at any time, with higher liquidity.
4. The redemption time is different
Funds applying for listing can theoretically be bought on the same day and redeemed on the third day after T+2 confirmation. On-site subscription funds are different and need to wait until the end of the closed period before redemption.
5. The tightness of the tracking market is different.
After the fund is subscribed in the market, the fund manager can adjust it at any time according to the market situation. However, after the fund's on-site subscription, due to the closed period of 1-3 months, it gradually increased its position and could not keep up with the market in the short term. Once the market trend is upward, the new fund is likely to miss the rise unfortunately.
The above are some differences between on-site subscription and on-site subscription, so you can pay attention to them.