There are three kinds of bond funds ABC, mainly the difference in rates.
When there are only Class A and Class B bond funds: Class A charges subscription fees (front-end) and does not charge sales service fees; Class B does not charge subscription fee, but charges sales service fee. When the bond fund has ABC class: Class A charges subscription fee (front-end) and does not charge sales service fee; Class B charges subscription fee (back-end) and does not charge sales service fee; Class C does not charge subscription fee, but charges sales service fee.
Although front-end fees can often be discounted, they are also charged in proportion regardless of the amount invested. Although there is no discount on the back-end fees, the hourly fees will decrease or even be zero with the growth of the funds held, and the sales service fee will basically charge a certain percentage of the funds every year.
Therefore, if you want to invest in bond funds for more than 5 years, it is recommended to choose Class B, if you want to invest for medium and long term 1 to 5 years, it is recommended to choose Class A, and if you have short-term knowledge, it is recommended to choose Class C. ..
Extended data
Matters needing attention
First, we should pay attention to arranging the proportion of fund varieties according to our own risk tolerance and investment purpose. Choose the fund that suits you best, and set an investment ceiling when buying partial stock funds.
Second, be careful not to buy the wrong "fund". The popularity of funds has led to some fake and shoddy products "fishing in troubled waters", so we should pay attention to identification.
Third, pay attention to the later maintenance of your account. Although the fund is worry-free, it should not be left unattended. Always pay attention to the new announcements on the fund website, so as to have a more comprehensive and timely understanding of the funds you hold.
Fourth, pay attention to buying funds, and don't care too much about the net value of funds. In fact, the fund's income is only related to the net growth rate. As long as the fund's net growth rate stays ahead, the income will naturally be high.