The so-called closed period of an open-end fund means that after the fund successfully raises enough funds to declare the fund contract to be effective, there will be a period of time during which investors' applications for redemption of fund shares will not be accepted.

On the one hand, the closed period is set to facilitate the fund's backend (registration center) to make the best preparations for future subscriptions and redemptions; on the other hand, the fund manager can use the raised funds to complete preliminary investments based on the conditions of the securities market.

arrange.

According to the "Securities Investment Fund Operation and Management Measures", the fund closing period shall not exceed 3 months.

From the perspective of the process of raising funds and investing in open-end funds, it has gone through four periods: the fundraising period, the capital verification period, the closed period and the normal subscription and redemption period. During these four periods, investors' buying and selling of fund shares vary.

same.

The first is the fundraising period. During this period, the fund management company sells funds to investors through the company's direct sales agencies or banks and other agency sales agencies to raise funds. Investors can only buy, but not sell, fund shares at this stage.

The price is the net value of the share (1 yuan), and the cost of buying fund shares is called the subscription fee.

Due to the continued boom in sales of open-end funds since last year, in order to avoid investment inconvenience caused by excessive amounts of funds raised, funds generally stipulate a certain limit on the amount of raised funds (such as 10 billion), and the excess amount will not be recognized.

Due to the recent boom in fund sales, the regulatory authorities recently issued a notice requiring that new fund subscription applications exceed the established limit to implement proportional allotment.

After the fundraising period ends, the foundation enters a capital verification period of no more than 7 days. After the capital verification is completed, the fund contract is officially established, and then the fund enters the closed period. At this time, the fund contract has taken effect, but during the closed period

, the fund does not accept requests from investors to subscribe or redeem fund shares. During this period, investors can neither buy nor sell fund shares.

Judging from the actual situation, many funds open for subscription in the later period of the closed period. That is to say, at this stage, investors can subscribe for the fund based on the net asset value of the fund, but they cannot redeem the fund shares they hold for cash.

According to the provisions of the Securities Investment Fund Law, the closing period of a fund shall not exceed 3 months.

At the end of the closed period, the fund can accept subscriptions and redemptions at the same time, which enters the normal subscription and redemption period. Investors can subscribe and redeem the fund based on the daily net value of shares of the open-end fund.