90% of people in investment funds don't know how much money is behind the fund. In this article, I want to introduce to investors in detail that the handling fee is the expenditure cost of fund investment. If we don't deeply understand the handling fee of fund transaction, the investment income of our own fund may be swallowed up by these tangible and intangible rates, resulting in our principal loss.

How much is the handling fee for the fund?

First of all, one-time expenses

1, subscription fee

The subscription fee is the handling fee paid when purchasing a new fund during the fund issuance and raising period. As the name implies, the cost of buying a new fund is called subscription fee.

2. Subscription fee

After the issuance of the new fund, the handling fee that investors need to pay for daily subscription of fund shares is subscription fee, which is charged according to the percentage of the subscription amount, with the maximum not exceeding 65,438+0.5%. Back-end fees are designed to encourage investors to hold funds for a long time. After holding for a certain number of years, the subscription fee can be waived when redeeming. The front-end subscription fee can be simply calculated according to the subscription amount and subscription rate of X. Although this algorithm is not rigorous enough, it is enough for us investors to master it. In fact, the fund company's algorithm will be cheaper because they subtract the subscription fee from the subscription amount.

3. Redemption fee

This is the fee to be paid when selling the fund. The redemption fee is generally charged at one time. At present, only monetary funds are exempt from redemption fees, and other types of funds have redemption fees. The maximum redemption rate shall not exceed 1.5%. The longer the fund is held, the lower the redemption rate. The calculation method of fund redemption fee is: fund redemption fee = redemption amount * redemption rate.

4. Fund conversion fee

Different open-end funds under the same fund management company, and even some open-end funds of different fund companies can exchange funds with each other. The fund conversion fee consists of the subscription fee and redemption fee transferred to the fund.

Second, the cost in the process of fund management

1, management fee

Management fee is the management remuneration of fund managers, which refers to the fees charged by fund managers for managing fund assets.

2. Custody fee

Custody fee refers to the fees charged by banks, securities companies and other institutions for custody and disposal of fund assets.

3. Index usage fee

When a fund company uses an index to develop an index fund, it needs to sign an index license agreement with the index compiling company and pay the index usage fee at the same time. ETF is three ten thousandths, and other indexes are two ten thousandths.

The fund costs a lot, so buy the desired fund share as cheaply as possible to maximize the investment income. In addition, long-term holding is also a good strategy to reduce investment costs. Fund investment should avoid intraday trading, otherwise the profit we finally earned will be greatly discounted because of the handling fee.