Funds can be divided into closed-end and open-end according to trading methods. Closed means that you can only trade within a certain period of time, and open means that you can trade at any time. Generally speaking, everyone invests in open-end funds.
Funds are divided into stock type, bond type and currency type according to investment objects. Equity funds refer to funds in which more than 60% of fund assets are invested in stocks, bond funds refer to funds in which more than 80% of fund assets are invested in bonds, and money market funds refer to funds with only money market instruments. Relatively speaking, stock funds have the highest risk, followed by bond funds, and money market funds have the lowest risk and the lowest return.
Buying a fund can make money, but you must not have the mentality of getting rich overnight.
You calculate your income according to the net value of the fund published every day.
Subscription fee = total investment * 1.5%
Fund share = (total investment-subscription fee)/net fund value on subscription date
Redemption fee = fund share * net fund value on redemption date * redemption rate
Investment income = fund share * net fund value on redemption date-redemption fee-total investment.
Rate of return = return on investment/total investment