The change of fund price is mainly based on its net value. As long as the net value of the fund is increasing, its price will go up. The ratio of fund price to fund net value is called premium rate. The calculation formula of exchange fund premium rate is: (exchange price-exchange net value)/exchange net value * 100%.

When the transaction price of closed-end funds in the secondary market is lower than the actual net value, this situation is called "discount". Discount rate = (unit net share-unit market price)/unit net share. According to this formula, when the discount rate is greater than 0 (that is, the net value is greater than the market price), it is a discount, and when the discount rate is less than 0 (that is, the net value is less than the market price), the price is a premium. In addition to investment objectives and management level, discount rate is also an important factor in evaluating closed-end funds. Foreign methods to solve the large discount of closed-end funds include: closing to opening, fund liquidation in advance, fund tender offer, fund share repurchase, fund management and distribution, etc.

1. fund premium: fund premium means that the issue price of the fund is greater than the value of the fund itself, because the demand is greater than the supply. For transactional funds in the secondary market, the transaction price is not equal to the net value of the fund. When the transaction price is higher than the net value of the fund, it is a premium transaction; The opposite is a discount transaction.

2. Funds can be divided into broad sense and narrow sense. Broadly speaking, funds are the general name of institutional investors, including trust and investment funds, unit trust funds, provident funds, insurance funds, retirement funds and funds of various foundations. The funds in the existing securities market, including closed-end funds and open-end funds, all have the characteristics of income function and value-added potential. From the accounting point of view, capital is a narrow concept, which refers to funds with specific purposes and uses. The establishment of the fund is because investors from the government and institutions do not require investment returns and investment recovery, but require funds to be used for designated purposes according to the law or the wishes of investors.

3. Premium: a term used in the stock market, where the amount actually paid exceeds the face value or face value of securities or stocks. As far as funds are concerned, it means that the transaction price of closed-end fund market is higher than the net asset value of fund share. We usually say that a stock has a premium, which means that there is money after deducting various expenses and other expenses. When we say how much premium a stock has, we mean the difference between the target price and the nominal price of the stock. Premium means that the transaction price exceeds the nominal price of the securities. As long as it exceeds the nominal price, it is called a premium. Premium space refers to the extent to which the transaction price exceeds the nominal price of securities.