Dividend share of fund refers to reinvestment in the form of dividend after the fund company distributes the fund investment income to the fund holders, so as to increase the share of the holders. This share is usually called "dividend reinvestment share". The share of fund dividends can help the holders realize the compound interest of fund investment income, and for long-term investors, it can effectively improve the speed of long-term asset appreciation.

The calculation of fund dividend share is based on the total share of fund holders. When the fund pays dividends, the fund company will increase the share of each holder by calculating the total share held by each holder and then paying dividends according to the preset proportion. Therefore, fund holders need to know the specific dividend policy and dividend ratio formulated by the fund company when purchasing the dividend share of the fund.

The main advantage of fund dividend share is that it can automatically realize compound interest and increase the return on investment of holders. At the same time, the reinvestment method of the fund's dividend share also helps to reduce the investment cost and avoid the related expenses and taxes that need to be re-purchased after each dividend income. However, the disadvantage of fund dividend share is that fund companies do not guarantee annual dividends, and the amount of dividends will also be affected by market fluctuations and fund management style. Therefore, investors need to carefully consider the benefits and risks of reinvestment and make investment decisions according to their own risk tolerance and investment objectives.