Fund dividend means that the fund manager distributes part of the fund income to investors in the form of cash or fund share. Whether the fund pays dividends will not have much impact on the total assets of investors, and investors do not have to divide the dividends before selling them.
Fund dividends are mainly divided into cash dividends and dividend reinvestment. If the investor does not choose the dividend distribution method, the system default distribution method is cash dividend, and the investor can modify the dividend distribution method before date of record.
Extended data:
For example, if you hold 6,543,800+shares of a fund, each fund will receive a dividend of 0.05 yuan: if you choose the cash dividend method, then the basic people will receive a cash dividend of 0.5 million yuan;
Assuming that dividends are reinvested, the net value of the fund share on the dividend base date is 1.25 yuan, and the basic people can get 5,000 yuan1.25 yuan = 4,000 fund shares, so the fund share becomes104,000. As the total assets of the fund decreased due to dividends, the net value of the fund decreased after dividends.
The default dividend method of open-end funds is cash dividend, but the basic people can change it independently according to the individual's specific situation and the changes in the fund market.