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What's the difference between fund split and dividend?
In the process of fund financing, there are often two operations, one is fund splitting and the other is fund dividend. So what's the difference between fund split and fund dividend? Let's have a look.

1. The so-called fund split refers to a way to change the net value of fund shares and the total amount of fund shares and recalculate fund assets while ensuring the total assets of investors remain unchanged. Fund splitting is more to cater to the preferences of fund investors.

2. Fund dividend refers to the distribution of the income from fund investment to investors in cash, which is a part of the net value of the fund and does not create new wealth and value.

3. It is worth noting that the fund dividend needs to be obtained by selling stocks, which will directly lead to the decrease of the fund's net value. However, the fund split itself does not have much practical significance.

Therefore, in the process of fund investment, users must reasonably choose fund split or dividend.