Currently, domestic funds also charge a redemption fee when redeeming, which is mainly to cover the operating expenses during redemption. The general redemption rate is around 0.5% of the redemption amount. Also to encourage investors to hold funds for the long term, some fund companies have introduced a charging method in which the redemption fee decreases as the holding time increases. That is, the longer the fund is held, the less the redemption fee paid when redeeming. If the time reaches a certain level, no redemption fee will be charged when redeeming.

According to the latest fund regulations, 25% of the redemption fee must be included in the fund assets to compensate for the possible losses of investors who do not redeem.

Total amount of redemption = net value of unit fund × units to be redeemed

Redemption fee = total amount of redemption × handling fee rate

Available redemption amount = redemption Total amount returned - redemption fee

Calculation method for daily fund redemption

Calculation method for daily fund redemption The redemption payment amount of the fund is the redemption amount minus the redemption fee. Among them, redemption amount = number of redemption shares × net value of fund units on T day Redemption fee = redemption amount × redemption rate Payment amount = redemption amount – redemption fee Note:

1. The net value of fund units is in RMB, rounded to three decimal places.

2. Redemption fees and payment amounts are in RMB, rounded to two decimal places.

3． The redemption rate is determined by the fund manager. Still taking the fund redemption of Huaan Innovation Fund as an example: According to the redemption rate announced by Huaan Innovation Fund, the redemption rate is uniformly charged at 0.5%.