The premium of graded funds is due to the high market demand, which leads buyers to buy fund shares at a price higher than the net value, and finally forms the price difference between the market price of funds and the net value of funds. Therefore, the premium of graded funds often appears in the case of strong market demand.
The premium of graded funds may be risky for investors. Because when the premium is too high, investors need to pay more money to buy fund shares, and when the market demand drops, the market price of the fund will also fall, resulting in investment losses. Therefore, investors need to pay attention to the premium when choosing graded funds, invest carefully and avoid losses.