Liquidation is a legal procedure, in which the production and operation of a company stop, all assets are sold in a short time and converted into cash, and then the outstanding debts are paid off in turn, and then the company is dissolved according to legal procedures.
At the same time, the size of the fund will also affect the subscription and redemption costs of the people. Do you think, if the number of buyers is large and the scale is large, will the cost sharing be reduced? This is a fact.
1, size of monetary fund
Let's get this straight. What kind of money will flow into the money fund? Obviously, some money with strong liquidity and frequent trading flows in. For example, our common money fund, Yu 'ebao, has many frequent transactions every day, which add up to a lot across the country, possibly hundreds of millions or tens of billions.
If the scale of this kind of money fund is very small, the money invested in the fund company will be taken out before overheating, which will seriously affect the performance of this fund. Poor performance will gradually lose customers. How do fund companies eat?
Conclusion: When choosing a monetary fund, it can be concluded that the bigger the fund, the better.
2. Index funds
Index funds are divided into active index funds and passive index funds, which are different. Generally, specific index stocks are selected as investment targets, and they do not actively seek to surpass the market performance, but try to copy the performance of the index. This kind of fund is called passive index fund.
Generally speaking, buying such a fund means buying the economic development prospects of the whole country, and it will take 3-5 years to gradually show the effect. Conclusion: The bigger the passive index fund, the better (the bigger the fund scale, the less likely the net value of the fund will be affected by subscription and redemption).
Active index fund: it needs the artificial management and intervention of the fund manager. For example, fund managers will invest in some other excellent assets appropriately, so if your whole plate of funds is too large, even if you invest in good things, the effect on the overall net worth is limited. Conclusion: The scale of active index funds should be moderate, such as 2-5 billion.
3. Bond funds
Bond funds are divided into pure debt funds and convertible bond funds. Bonds are issued by enterprises and countries, and they all have a characteristic: they have a certain term, and the principal and interest are returned at maturity, and the interest is higher than that of bank deposits.
Pure debt fund: the income of bond funds mainly comes from paying the principal and interest after holding bonds, and earning the spread between bonds and funds through leverage. The size of the fund has little effect on the income, and some pure debt funds have a scale of several hundred million and good performance; Some have a scale of tens of billions, and their performance is also good.
Convertible bond fund: investors who hold convertible bonds can convert bonds into stocks during the conversion period, or sell convertible bonds directly in the market for realization, or choose to hold bonds to collect principal and interest at maturity. Because more than 80% of the bonds of the convertible bond fund can be converted into stock circulation transactions, the risk is relatively large, and the scale should be appropriately smaller (within 2 billion).
4. Equity funds
This kind of fund belongs to high risk, and the fund size is about1-500 million, which is too small. In addition, fund managers can't give full play to their stock selection ability, and the expenses of various procedures, marketing and management are not low. If the scale is too large, it will be more difficult for fund managers to choose stocks and manage stocks, and the flexibility of investment will be greatly weakened.