Recently, a colleague said that after redeeming the fund product he purchased, he found that the money was less than before. Why is this? Let’s take a look.

Why is there less money after all funds are redeemed?

1 Fund has lost money

If the fund products held by investors suffer losses, the funds at the time of redemption will It will naturally become less. For example, if an investor purchases a fund product with a net value of 1 yuan, and the net value is 0.9 yuan when redeemed, not only will the principal be lost, but transaction fees will also need to be paid, and the redemption funds will naturally be reduced.

2 Funds have handling fees

Fund transactions have handling fees. When the amount of profits earned by investors holding fund products is less than the transaction fees of fund products, the amount of redeeming fund products will naturally increase. Fewer. For example, the fund product transaction fee is 1% and the profit is 0.8%. At this time, the fund product seems to rise, but because the increase is less than the transaction fee, the fund redemption principal will still be reduced.

3 The fund subscribes according to the amount and redeems the shares

In this case, the investor redeems the fund shares, not the amount. Therefore, it seems that the redemption amount has become smaller. In fact, the total redemption amount is the number of fund units redeemed * the net asset value of the fund. For example, if an investor purchases 1,000 shares of a fund for 1 yuan, 1,000 shares will be displayed instead of 2,000 yuan when redeemed.

Usually, the decrease in fund redemption amount is mainly caused by the above three situations, and investors can make judgments based on their own actual circumstances.