Some funds have no subscription and redemption fees because:

1. Monetary funds have no subscription and redemption fees, because money funds mainly include central bank bills, short-term treasury bonds, and corporate bonds. , commercial paper, bank certificates of deposit and other instruments, the fund manager does not need any fees to purchase these objects, so there are no subscription fees and redemption fees.

2. Investors are buying Class C funds. Class C funds do not charge subscription fees. Generally, ETF feeder funds are exempt from redemption fees if they are held for more than 7 days, while stock-type feeder funds are free of redemption fees. Redemption fees are waived if held for more than 30 days. Although there are no subscription fees and redemption fees for holding such funds, sales fees will be accrued on a daily basis, and sales fees are not cost-effective in the long run.

The subscription rate is stipulated in the fund contract when the fund company formulates the product, and the subscription rate cannot be changed. However, some fund sales agencies hope to raise a certain fund size as soon as possible, so there will be fee discounts. The subscription fee is calculated based on the subscription rate. The principal multiplied by the subscription rate is the subscription fee that needs to be paid.