1. Investors often see the same fund name when choosing a fund, but the suffix letters are different, one is A and the other is C. So, what is the difference between Fund A and Fund C? In fact, Class A and Class C are two different charging methods for the same fund, that is, the rate structure is different. The main differences are as follows: 1. In terms of subscription fees, Class A funds should charge a certain percentage of subscription fees, and it is a one-time charge; Class C funds do not charge subscription fees; 2. In terms of redemption fee, Class C funds have been held for more than 7 days, and the redemption rate is low. Hold for more than 6 months without redemption fee; 3. In terms of management fees and custody fees, the two types of funds are the same.
2. You can clearly see the rate structure of Class A and Class C funds: Since we have learned that the difference between Class A and Class C funds is mainly in the rate structure, we need to consider the cost of purchasing funds when choosing funds. Which category should we choose to replace? If the subscription amount of a fund is less than 6,543.8+0,000 yuan, then the subscription fee of Class A funds is 0.654.38+0.2%, while the subscription fee of Class C funds is 0 regardless of the subscription amount.
3. If a fund invests for one year, and the subscription fund is less than 654.38+00,000, then the total cost of purchasing Class A funds is estimated as follows: subscription fee 0.654.38+02%+ redemption fee 0.25%+ management fee 654.38+0.50%+ custody fee 0.25% = 2.654.38+00. Then, the total cost of purchasing a class C fund is estimated as follows: subscription fee 0+ redemption fee 0%+ management fee 1.50%+ custody fee 0.25%+ sales service fee 0.5%=2.25%. In this way, if you invest for one year, the cost of Class C is higher than that of the fund. Therefore, when choosing a fund, it is still necessary to calculate the cost of the fund. Under normal circumstances, it is more cost-effective to choose class C funds for short-term investment and class A funds for long-term investment. However, if you haven't decided when to invest, you can choose a C-type fund to sell at any time. The main difference between fund A and fund C lies in the different charging methods. At the time of fund subscription, Class A funds need to charge subscription fees, while Class C funds do not. However, Class C funds need to charge sales service fees. In addition, both Class A and Class C funds need management fees, custody fees and redemption fees.