First, the lower the net worth, the cheaper the price. Due to the different types of transactions, funds are divided into listed open-end funds and unlisted open-end funds. For unlisted trading funds, the reference price for purchase and redemption is the net value of the fund, while for listed trading open-end funds, the price and net value of the fund are different. The price change of the fund is influenced by certain market supply and demand, and the net value of the fund is determined by the operating performance of the fund.
It is precisely because the fund price is out of sync with the fund net value that the price deviation creates opportunities for investors who participate in the arbitrage of listed open-end funds.
Second, the lower the net value, the greater the investment value of the fund. The current net value of the Fund is only a reflection of the historical performance of the Fund and does not represent the future performance of the Fund. When investors choose fund products, they only buy the immediate net value of the fund, while the long-term net value of the fund is unpredictable, and there is the possibility of rising, leveling and falling. What will affect the change of fund net value in the future is the future operation level of fund managers. Therefore, it is also biased to take the spot net value of the fund as the basis for whether to invest in the fund.
Third, it is inaccurate to see the change of fund net value from a static point of view. Because there is a strong correlation between the fund and the change of the securities market, the fluctuation of the stock price in the securities market will also affect the change of the market value of the stock assets in the fund asset allocation varieties, thus making the net value of the fund constantly change.
It is precisely because of the continuous fluctuation of stock asset prices that the net value of the fund also shows certain continuous fluctuation. As long as the fund is not actually liquidated and delivered, the net value of the fund is a "virtual" reference price, which does not constitute a substantial increase in the assets of the fund and will not generate substantial profits and losses.
Therefore, the static view of the fund's income is not comprehensive. However, the short-term net value change of the fund provides an opportunity for investors to arbitrage the fund price.