According to the relevant laws and regulations of China Fund, if the net asset value of the fund is less than 50 million yuan for 60 consecutive days, or the number of fund share holders is less than 200 for 60 consecutive days, the fund manager has the right to announce the termination of the fund after being approved by the China Securities Regulatory Commission.
Extended data:
Capital settlement practice
It is generally stipulated in foreign countries that the liquidation of funds requires the permission of the competent authority or must be filed with it. For example, in Britain, after the liquidation of open-end funds, the issuance, sale, redemption and cancellation of shares will be stopped, and the registration of share transfer will no longer be handled. Without the approval of the directors, the registration of shareholders may not be changed. In addition to liquidation interests, fund business will no longer be carried out. The fund manager shall announce the notice of starting liquidation and notify the shareholders in writing that liquidation has started.
From the practice of Merrill Lynch Investment Company in the United States, Merrill Lynch equity funds and convertible securities series funds can be suspended or merged in whole or in part under certain circumstances. If the net asset value of all foreign shares of an investment company is less than $25 million for more than 30 consecutive days, or the net asset value of foreign shares of a fund is less than $6.5438+0.5 million, or the board of directors thinks that the company or related funds are affected by changes in the economic and political situation.
The company may issue a written notice to all shareholders or shareholders of a certain class of shares 1 month in advance if the board of directors deems it appropriate, so as to redeem or convert all the shares that have not been redeemed or converted before the next pricing day after the end of the notice period. The redemption or merger of shares is based on the net asset value on the above pricing date.
If the merger or suspension of funds is due to changes in the economic and political situation, it must be approved by the shareholders of the relevant funds in advance. The approval was made at a similar shareholders' meeting held in an appropriate manner.
Source: Fund Clearing-Baidu Encyclopedia