How long will it take for the fof fund to be redeemed?
After the fof fund is redeemed, the arrival time will be different according to different fund products. Generally, the fof fund can be redeemed within 2 working days at the earliest and 5 working days at the latest. Funds can usually only be redeemed on trading days, which are usually Monday to Friday (except holidays).
What are the advantages and disadvantages of fof fund?
Advantages of 1fof fund
1. More professional investment: FOF fund is a high-quality fund selected by professional institutions through qualitative and quantitative methods for portfolio investment, which is more professional than ordinary investors who choose their own funds for portfolio investment.
2. The risk is relatively low: FOF funds invest in funds, which have more indirect shares and greater dispersion, and the investment risk will be lower than that of ordinary open-end funds.
Shortcomings of 2fof fund
1. The return is lower: because the investment is more diversified, the risk is lower, but at the same time the return will be lower.
2. Poor liquidity: Compared with ordinary funds, the liquidity of FOF funds will be worse. Redemption is not open every day, but often one day a week or one week every quarter.
3. Higher cost: As the FOF fund invests in the fund, there are related expenses for purchasing the fund, and the operation of the FOF fund as a fund will charge fees, which will involve the problem of double expenses and the investment cost is higher.