Fund conversion refers to converting all the shares of Fund A into the shares of Fund B, provided that the fund products of the same fund company are similar to selling Fund A and buying Fund B, but related to the handling fee.

Is the fund conversion fee the same as selling?

The fund conversion fee is different from the fund sales fee. Fund conversion fee = redemption fee transferred to the fund+conversion compensation fee, and fund selling fee = fund redemption share × rate. Relatively speaking, the fund conversion fee is lower than the fund selling fee because of the compensation fee for conversion.

There are two kinds of fees for fund conversion:

1A and fund b are products of the same company, and the subscription rate is the same, so the subscription fee can be exempted when switching, and only the redemption fee can be paid, and 3-7 working days can be saved in the middle of fund switching to wait for the funds to arrive.

② When the fund with low subscription rate is transferred to the fund with high subscription rate, the difference of subscription fee will be charged; When a fund with a high subscription rate is transferred to a fund with a low subscription rate, the difference is not charged. Assuming that fund A is converted into fund B, the subscription fee of fund A is 1%, and the subscription fee of fund B is 1.5%, then the rate difference of 0.5% needs to be made up when fund A is converted into fund B. ..

If the fund is redeemed and then bought, even if the redemption fee is calculated according to 0.5%, the subscription fee is calculated according to 0. 15%, and the total cost is 0.65%. Moreover, the waiting period during this period is at least 5 days, and the cost of silence for 5 days is also a big expense.

Compared with fund selling and buying, the biggest advantage of fund conversion is that it can save cost and time, and it is a good choice. However, compared with fund selling and buying, fund conversion has great limitations because not all funds can be converted to each other.