The turnover rate is used to measure the frequency of fund portfolio changes and the average time for fund managers to hold a stock. The calculation method is generally based on the smaller of the total amount of securities investment bought and the total amount of securities sold in one year, divided by the average monthly net assets of the fund.
According to the stock trading volume disclosed by the Fund during the reporting period and compared with the stock assets held by the Fund, the turnover rate of the Fund's stock investment can be calculated.
The calculation formula is:
Stock investment turnover rate = the stock trading volume of the fund ÷2÷ the average stock assets of the fund.
The turnover rate reflects the frequency of fund trading operations during the reporting period:
The low turnover rate shows that the investment style of the fund is relatively stable, focusing on creating returns for investors through the strategy of buying and holding; The high turnover rate shows that the investment style of the fund is more flexible and active, and it seeks to increase the fund's income through band operation. By analyzing the turnover rate of stock investment, we can better understand the trading characteristics and operating style of funds.
Generally, funds with low turnover rate show stable characteristics and low risk, while funds with high turnover rate are more radical and risky.
For example, in 2006, when the market was full of hot spots and individual stocks were active, the fund adopted a more active investment method.
Overall, the turnover rate of active investment in partial-share open-end funds reached 287.30% in 2006, much higher than 180.63% in 2005.
From the perspective of various types of funds, closed-end funds with fixed shares and unaffected by subscription and redemption operate relatively smoothly, with a turnover rate of 237. 12%, which is significantly lower than that of open-end funds of 78. 16 percentage points; Hybrid funds with relatively broad asset allocation still maintain a more flexible operating style, and the turnover rate continues to be higher than that of equity funds in the same period.