As we all know, investment and financial management require certain costs and fees. Different financial management methods have different costs, fees, funds, and different collection methods.

Funds are one of the more popular investment methods at the moment, and the investment threshold is also very low. Basically everyone can invest. So how are the various costs and fees for buying funds deducted?

Let’s find out together below.

How to deduct various costs and fees for buying funds?

1. Subscription fee: Basically, a subscription fee is required when buying a fund. The fund subscription fee is usually automatically deducted at the time of purchase. The higher the transaction amount, the higher the subscription fee.

Therefore, when the total amount of the fund is received, there will be a certain difference between the funds that investors see and the total amount they purchased. This difference is the subscription fee deducted.

2. Sales service fees, custody fees, management fees, etc.: These fees are automatically deducted from the daily net fund value of the fund. There is no need to deduct fees when the fund is sold.

3. Redemption fee: A redemption fee is basically charged when a fund is sold. After the fund is redeemed, the total amount of the fund’s holdings is different from the amount received. The amount received is the amount after deducting the redemption fee, so there will be

Slightly less than the total holding amount.

There are certain rules for fund redemption fees. The longer the fund is held, the lower the redemption fee will be, and the minimum can be as low as zero yuan.

Under normal circumstances, the redemption fee charged for funds held for less than 7 days is 1.5%; the redemption fee charged for funds held for more than 7 days and within 30 days is 0.75%; the redemption fee charged for funds held for more than 30 days and within 365 days.

The redemption fee rate is 0.5%; the redemption fee rate for holding times above 730 is zero.