The distribution rate refers to the proportion of the income of a fund or portfolio actually distributed to investors.
The distribution rate is usually expressed as a percentage and can be calculated by the following formula: distribution rate = actual distribution amount ÷ total income of the fund or portfolio.
For example, if the total income of a fund is $65,438+00,000 and the actual amount allocated to investors is $8,000, the allocation rate of the fund is: allocation rate = 8,000 ÷ 65,438+00,000 = 0.8 or 80%.
This means that the allocation ratio of the fund is 80%, that is, investors get 80% of the total income of the fund. Allocation ratio can help investors understand the actual income of funds or portfolios and the management ability of fund managers.
Scope: Funds, gold, bonds, real estate