The 7-day annualized rate of return is the average rate of return of the money fund in the past 7 days, which is obtained after annualization. However, this data often changes. Generally speaking, according to the current data, you can estimate the annual income. For example, if you deposit 2.7% on the 7th, you can get 270 yuan in one year. Users usually buy money funds, so they must choose those with high recent returns. Only in this way can we get good returns in the later period. You can usually check last month's income. And at the time of purchase, we should choose continuous fund trading days, so as to get benefits faster.
1, annualized rate of return is only calculated by converting the current rate of return (daily rate of return, weekly rate of return, monthly rate of return) into annual rate of return, which is a theoretical rate of return, not a real rate of return. Annualized rate of return The annual rate of return converted from the net income per 10,000 fund shares of the Monetary Fund in the past seven days. There are two ways to carry forward money market funds: 1. "Daily dividends are carried forward on a monthly basis", which is equivalent to daily simple interest and monthly compound interest; 2. "Daily dividends are carried forward daily", which is equivalent to daily compound interest. The calculation formula of simple interest is (∑ Ri/7) × 365/1000×100%, and the calculation formula of compound interest is (∑ RI/10000) × 365/7 ×100%, where RI
2. For long-term wealth management products, the subscription period and liquidation period may be negligible, but for short-term wealth management products within 7 days or 1 month, this time has a great impact. For example, a bank's 7-day wealth management product is called annualized rate of return 1.7%, but it needs at least 8 days of funds, 1.7% * 7/8 = 1.48%, which is almost the same as the bank's 7-day notice deposit, and the bank's notice deposit is much more convenient and stable than the general risky wealth management products. Therefore, to look at the annualized rate of return, we should not only look at the declared figures, but also look at the actual income figures.
3. Under different ways of income carry-over, the calculation formula of seven-day annualized rate of return should also be different. At present, there are two ways to carry forward the income of money market funds. One is to pay dividends on a daily basis and carry them forward on a monthly basis, which is equivalent to daily simple interest and monthly compound interest; The other is daily dividend, which is carried forward on a daily basis, equivalent to daily compound interest, in which the formula for calculating simple interest is: (∑ ri/7) × 365/10000 ×100%, and the formula for calculating compound interest is: (∏ (1+ri/650).