The annualized rate of return of a fund is the income from investment over a period of time. Assuming this level lasts for one year, the converted annual rate of return. Because annualized rate of return is variable, annualized rate of return is not necessarily the same as annualized rate of return.

Funds are investments, and investments are bound to be risky. If there are risks, it means that it is profitable.

The calculation method of annualized rate of return is to convert the current rate of return (daily rate of return, weekly rate of return, monthly rate of return) into annual rate of return, which is a theoretical rate of return, not an actual rate of return. For example, the daily rate of return is one in ten thousand, and the annualized rate of return is 3.65% (an average of 365 days a year).

The calculation method of fund annualized rate of return is to convert the expected rate of return obtained by purchasing fund products into annual rate of return.

The annualized rate of return of the fund refers to the rate of return obtained by investing for one year.

The annualized rate of return of the fund = (return on investment/principal)/(investment days /365)× 100%.

Fund annualized income = principal × annualized rate of return

The actual income of the fund = principal × annualized rate of return × investment days /365, which is the ratio of the actual income of an investment in one year.