When you choose a fund, you must first look at the net value of the fund. The net value of the fund is the market price of the money, which is the market value of your holdings.

So what is the accumulated net value of the fund?

In fact, to put it simply, the cumulative net value is to add all the previous dividends together. If there is no dividend distributed, the net value of the fund is equal to the cumulative net value of the fund.

1. What is the cumulative net value of the fund?

The cumulative net value of the fund refers to the sum of the net value of the fund and the dividend performance since its establishment. It reflects the cumulative expected annualized expected return obtained by the fund since its establishment (minus the face value of one yuan is the actual expected annualized expected return). It can be more intuitive and

Comprehensively reflecting the historical performance of the fund during the operation period, combined with the fund's operation time, it can more accurately reflect the fund's true performance level.

Cumulative unit net value = unit net value + cumulative unit dividend amount since the fund was established (i.e., fund dividends).

The level of the fund's net worth is not the main basis for selecting a fund. The future growth of the fund's net worth is the key to judging the investment value.

In addition to being affected by the management capabilities of the fund manager, the level of net worth is also affected by many other factors.

2. What is the difference between fund net value and accumulated net value?

The net value of the fund is the report card of the fund on that day, and the cumulative net value is the report card since the fund was established.

To be precise, the net value of the fund is called the net value of fund shares, which refers to the actual value represented by each fund share of the fund at a certain point in time.

It can be calculated through this formula: Net asset value of the fund on T day = (total fund assets on T day_total fund liabilities on T day)/total number of fund shares outstanding on T day.

You will find that except for total liabilities, all values ??in the formula use real-time data. Therefore, the net value of fund shares can reflect fund performance intuitively and in real time, and people can use it to understand the operation of the fund.

The cumulative net value of fund shares includes the previous dividend amount, so the cumulative net value of fund shares = the net value of fund shares + the cumulative dividend amount of the shares after the fund was established.

The cumulative net value of fund shares can fully reflect the historical performance of the fund during its operation. When evaluating fund performance, investors should pay attention to the cumulative net value of fund shares.