Is the foundation liquidated at a loss?
It may lose money. After all, when the fund is liquidated, it only returns the current net settlement of the fund to investors according to its shareholding ratio, and the funds are not guaranteed. If the net value of this fund falls and is closed after buying it, then the holder will lose money, but it may also be closed after the net value rises, so the holder can still make a sum of money.
The main reasons for fund liquidation:
When the net asset value of the fund is less than 50 million yuan for 60 consecutive days and the number of fund share holders is less than 100 for 60 consecutive days, fund liquidation will be triggered.
What if the fund is liquidated?
When the fund is liquidated, it can be redeemed or transferred out in time, or it can wait for the liquidation of the fund. When the fund is formally liquidated, it shall be returned to the investors according to the net value of the fund on the last day after the liquidation period. The specific liquidation period shall be subject to the announcement of the fund company. Generally, if you wait for liquidation, you need to wait for a long liquidation period. It is recommended to arrange redemption or transfer out in time.
Although the probability of fund liquidation is low, the termination conditions of each fund will be slightly different. Investors can refer to the relevant statements in the fund announcement about "the number of fund share holders and asset scale during the duration of the fund" and "the termination of the fund contract".
If you don't want to meet the liquidation of the fund you bought, try not to buy those smaller funds when you buy, because the probability of liquidation of mini funds is the greatest.