As we all know, it is impossible to make any transactions when the fund is closed on weekends. Although you can apply for redemption, you still need to wait until the fund is open. Many investors are curious about why the fund is not open on weekends. Let's look at the reasons for the closure.

Why is the fund closed on weekends?

The reason why the fund is closed on weekends is mainly because the stock market is closed on weekends and the fund investment standards are closed for trading, so the fund naturally cannot trade. Careful investors will find that the trading hours of funds and stocks are basically restrained. There is no income during the closing of stocks on weekends, and naturally there will be no income for funds holding stocks on weekends.

Of course, not all funds have no income on weekends, such as money funds and pure debt funds will also have income on weekends. Under normal circumstances, money funds and pure debt-based funds have income 365 days a year. The money fund basically invests in the money market, and the pure debt fund 100% invests in bonds. Although their investment returns are low, their investment risks are also low. As long as it is held for a long time, it is basically stable.

According to different investment types, funds can be divided into money funds, bond funds, stock funds, index funds and hybrid funds. Most of the positions of stock funds, index funds and hybrid funds are stocks, and there is no income on weekends. Moreover, the investment risk of such funds is very high, and once the market is not good, it will bring great losses to investors.