Second, it is related to the way of dividends. By default, funds are all cash dividends. There are two ways of fund dividend, one is cash dividend, that is, dividend is distributed to fund holders in cash. The second is dividend reinvestment, that is, on the day of dividend, the cash obtained from dividend is repurchased into the fund according to the net value of the day. This part of the fund has no handling fee and is open compound interest.

If it is a long-term investment, it is recommended to choose dividend reinvestment. If the stock market situation is good, you can choose to pay dividends in cash, and the profits can be saved first. .