When the transaction price of closed-end funds in the secondary market is lower than the actual net value, this situation is called "discount". Discount rate = (unit net share-unit market price)/unit net share. According to this formula, when the discount rate is greater than 0 (that is, the net value is greater than the market price), it is a discount, and when the discount rate is less than 0 (that is, the net value is less than the market price), it is a premium. In addition to investment objectives and management level, discount rate is an important factor in evaluating closed-end funds. Foreign methods to solve the large discount of closed-end funds include: closing to opening, fund liquidation in advance, fund tender offer, fund share repurchase, fund management and distribution, etc.

Net fund value:

* * * The total assets owned by the same fund calculated according to the market closing price of each business day, after deducting the various costs and expenses of the fund on that day, is the net asset value of the fund on that day. Divided by the total number of units issued by the fund on that day, it is the unit net value.

Premium rate: refers to the percentage that the underlying asset price needs to change in the direction favorable to investors when the warrant expires, so that the holder can break even, that is, break even. The premium rate of warrants refers to the percentage that the underlying securities need to rise if the breakeven point is to be reached.

Give an example of discount:

If the price of GBP/USD is 1.5030/40. The exchange points are arranged in a way of large left and small right. The two-way interest rates for overnight borrowing of sterling are: 4.00% (deposit) and -4.25% (loan) respectively. The two-way interest rate of overnight dollar borrowing is: 2.25% (deposit) and -2.50% (loan). rule

1, buy GBP/USD. The exchange points calculated in the above example are-0.63;

2. The calculation method of selling GBP/USD is as follows:

1.5030× (2.25%-4.25% )×1day /360 days =-0.000083.

That is, the exchange point is -0.83.

Therefore, the overnight exchange point of GBP/USD is 0.83/0.63 basis points.

This is the professional usage of discount in the market.

It is good to buy funds at any time. The key is whether you hold them for a long time. When the market adjusts, it is the point where the fund buys the most!