I. Fund dividends

Fund dividend means that the fund distributes part of the income to fund investors in cash, which is originally a part of the net value of the fund unit. People usually refer to funds mainly as securities investment funds.

Fund dividend means that the fund distributes part of the income to investors in cash, which is originally a part of the net value of the fund unit. According to the Interim Measures for the Administration of Securities Investment Funds, fund management companies should distribute at least 90% of the net income of funds in cash once a year. The "Interim Measures" have expired, and how to allocate them now is subject to the provisions of the Fund Contract.

Dividends are not as much as possible. Investors should choose a dividend distribution method that suits their own needs. Fund dividend is not the biggest standard to measure fund performance. The biggest criterion to measure the fund's performance is the growth of the fund's net value, and dividends are just the cash for the growth of the fund's net value.

For open-end funds, if investors want to realize income, they can also redeem part of the fund shares to achieve the effect of cash dividends; Therefore, whether the fund pays dividends and the number of dividends will not have a significant impact on investors' investment income.

Second, will the fund be redeemed immediately after dividends are distributed?

Funds are the product of long-term investment. Analysis of its rising trend and prospects, it is best to hold it for a long time. Fund dividends can be redeemed immediately, and immediate redemption has no effect. Simply put, fund sales do not need to consider the impact of dividend factors, because fund dividends will not increase the total assets of investors. Funds can be sold immediately after dividends, so whether investors sell before dividends or after dividends, dividends will not affect investors' income.

If the fund you want to redeem wants to pay dividends, it is suggested to change the dividend method to cash dividend first, so that this part does not need to pay the redemption fee, and the rest can be redeemed, just paying the handling fee for this part. So it's better to redeem after dividends.