When a fund company launches a new fund, there will always be a new fund raising period. So what does the new fund-raising period mean? Can I buy it? The following small series has prepared relevant content about what the new recruitment period means for your reference.

What does the new fund raising period mean? Can I buy it?

The raising period of new funds refers to the time period during which new funds underwritten by fund companies or issuers openly recruit investors, usually several days or weeks. During this period, investors can subscribe for fund shares through online banking, fund consignment agencies and other channels. After the fundraising period, the new fund will enter the formal operation stage. Therefore, during the new fund raising period, investors can also buy fund shares.

The raising period of the new fund is an important stage of the birth of the fund. During this period, fund companies will conduct extensive publicity and use various channels to promote their new fund products to investors in order to attract enough funds to invest in different asset classes. Due to the different investment strategies and risk characteristics of each fund, the raising period of the new fund also provides investors with the opportunity to choose the most suitable fund products.

During the period of raising new funds, there are generally the following characteristics:

1. Preferential conditions: During the fundraising period, new funds often set some preferential conditions, such as discount rate and special offers, to encourage investors to participate in the subscription. These preferential conditions can help investors save related expenses, thus improving their rate of return.

2. Adjustable share: During the new fund raising period, investors can adjust the share of the purchased fund according to their own needs. This will not only ensure that investors can meet their own needs, but also enable fund companies to better plan asset allocation.

3. Risks and benefits: The risks and benefits of new funds are usually difficult to predict. Therefore, during the period of raising new funds, investors need to carefully evaluate their investment tolerance and risk characteristics of fund products in order to make correct investment decisions.

It should be noted that the collection period of the new fund is limited. Once it is over, the new fund will enter the formal operation stage. Investors can only buy and sell fund shares through the secondary market, and the price may be affected by many factors such as market supply and demand and macroeconomic environment. Therefore, the raising period of the new fund is particularly important for long-term investors who want to get a low-priced share in the initial stage of the fund.

What does the fund-raising period mean?

The fund raising period is actually the fund issuance period. During this period, the fund company will sell the fund through direct sales, consignment agencies or banks, so that the fund sales share can reach the target. For investors, they can only subscribe for funds during the fund raising period. During the fund raising period, investors can't enjoy the investment income, but they will get some current interest income.

So, how long is the fundraising period? From the date when the fund shares are sold, the raising period is usually one to three months, and the longest is not more than three months. However, if the number of shares is reached in advance, the fundraising period of the fund can be ended in advance, and the fundraising beyond the quota cannot be confirmed.

According to different standards, securities investment funds can be divided into different types:

(1) According to whether the fund unit can be increased or redeemed, it can be divided into open-end funds and closed-end funds. Open-end funds are not traded on the market (as the case may be), but are purchased and redeemed by banks, brokers and fund companies, and the fund scale is not fixed; Closed-end funds have a fixed duration and are generally listed and traded on the stock exchange. Investors buy and sell fund shares through the secondary market.

(2) According to different organizational forms, it can be divided into corporate funds and contractual funds. A fund is established by issuing fund shares to establish an investment fund company, which is usually called a corporate fund; The establishment of fund managers, fund custodians and investors through fund contracts is usually called contractual funds. China's securities investment funds are all contractual funds.

(3) According to different investment risks and returns, it can be divided into growth funds, income funds and balanced funds.

(4) According to different investment objects, it can be divided into stock funds, bond funds, money market funds and futures funds.

What does the fund-raising period mean?

The fund raising period refers to the fund share raising period stipulated in the fund contract and prospectus and approved by the China Securities Regulatory Commission. Generally, it is 1 to 3 months from the date of fund share sale, and the longest is no more than 3 months.

The process from raising funds to investing in open-end funds is divided into four periods: raising period, capital verification period, closing period and normal subscription and redemption period. During these four periods, investors bought and sold fund shares in different ways.

What is the difference between fund share offering and fund raising?

The fund manager shall sell the fund shares within 6 months from the date of receiving the approval documents. The raising period of the Fund shall be calculated from the date of sale of fund shares, and the raising period shall not exceed 3 months. Offering generally refers to the initial issuance period of a new fund, which is called offering.

Advantages of the new fund

1, investors will enjoy greater incentives when buying new funds, and the price of buying new funds will be reduced accordingly, which will reduce the financial pressure on investors and give them more space to control their funds, thus obtaining higher returns;

2. The new fund has great development potential and great room for growth. Although the growth rate is slow at first, the benefits brought by the later period are very huge.

New fund raising refers to the first time that fund companies sell unissued funds to the public, and users can invest and buy funds according to their own conditions. When issuing funds, fund companies will explain relevant matters to investors, and investors can inquire about the subscription method, subscription time and details of funds. Investors can decide whether to buy funds and make their own investment plans according to the contents provided by fund companies. Under normal circumstances, newly issued funds will not reach the target of sale so quickly, so there will be a longer raising period. If the raising scale of the newly issued fund exceeds the selling target, the fund company may implement the subscription in proportion.