1. Subscription fee difference
Let's talk about the subscription fee first. Generally speaking, only Class A funds charge subscription fees, while Class C funds are generally exempt from subscription fees.
The subscription rate of Class A funds is generally between 0.8%- 1.5%. If the subscription is made on Internet platforms, such as Tian Tian Fund and Alipay, the subscription rate can be reduced by 10%, that is, 0.08% ~ 0. 15%.
2. Operating interest rate difference
Operating rate can often be divided into three parts, namely, management rate, custody rate and sales service rate.
Generally speaking, the management rate and custody rate of Class A funds and Class C funds with the same name are the same, and there is no difference. The only difference between the two is the sales service fee.
Class A funds generally do not charge sales service fees, and only Class C funds charge sales service fees. As for how much to collect, it is entirely up to the fund company to decide. The sales service fee of most C-type funds is between 0. 1%-0.8%.
In addition, popular science is also necessary. The sales service fee mentioned here is an annual fee, which will be evenly distributed to each trading day for deduction. The final updated net value of each trading day has been deducted from the sales service fee.
Therefore, we can often see that the investment targets of Class A and Class C with the same name are the same, but they often behave slightly differently. Class A funds are generally slightly higher than Class C funds, and more careful friends will find that, generally speaking, the annual difference is just close to this part of the sales service fee.
3. The difference between redemption fees
There will also be a big difference in redemption fees between the two. First of all, all OTC funds are held within 7 days, and the redemption rate is 1.5%, which is to prevent investors from trading too late.
Most C funds will have their redemption fees cleared after 7 days or 1 month. The holding time limit is relatively small, the redemption threshold is relatively low, and redemption is relatively more flexible.
Class A funds are generally divided into several grades, and the redemption rate is determined according to the holding time of the investment. Most funds maintain such a rule: the redemption rate for holding for less than 30 days is 0.75%, the redemption rate for holding for more than 30 days but less than 1 year is 0.5%, the redemption rate for holding for more than 1 year but less than 2 years is 0.25%, and the redemption rate for holding for more than 2 years is cleared.