1. The upward discount of hierarchical funds means that when the net value of the parent fund rises to a certain value specified in the contract (for example, 1 yuan 5), the increase rate of B share is much higher than that of A share. At this time, it will Convert the excess B shares of the B share holders into the fund of funds, and the net values ??of the A and B shares and the fund of funds will be returned to 1 at the same time, restoring the leverage ratio of the hierarchical fund.
For example: When a certain tiered fund was listed, someone held 2,000 shares of the parent fund with a net value of 1 yuan, and then split it into 1,000 shares of A (net value of 1 yuan) and share B (net value of 1 yuan). piece). When the fund of funds rises to 1.5 yuan, the B share he holds may have risen to 2 yuan, and the A share is assumed to have risen to 1.01 yuan. If the upper discount is triggered at this time, the 1,000 A shares held will still remain 1,000, but the net value will change from 1.01 yuan to 1 yuan; the extra 1 cent will be converted into 10 parent funds (1000*0.01). The net value is also 1 yuan; the other 1,000 B shares held are also retained, but the net value of 2 yuan is converted into 1 yuan; the extra 1 yuan earned is also converted into 1,000 parent funds, and the net value is also 1 yuan. After the discount, the investor will hold 1,000 A shares, 1,000 B shares and 1,010 parent funds, all with a net value of 1 yuan, totaling 3,010 yuan; before the discount, he will hold 1,000 A shares and 1,000 B shares , the total is 1000*1.01+1000*2=3010 yuan, the total amount remains unchanged before and after conversion.
2. According to the above explanation, if the fund of funds rises above a certain value, it will trigger an upward discount, which has nothing to do with the B share. Different funds have different regulations, and you need to read the fund contract for details.
3. After the discount, the net value of A share, B share and parent fund will all be converted to 1 yuan; the leverage of graded funds will be restored to factory settings; the amount of B shares originally held by B share holders will be reduced and Replace with fund of funds.