Total redemption amount = number of redemption shares × net value of fund shares on the redemption day (1)
Redemption cost = total redemption amount × redemption rate (2)
Redemption amount = total redemption amount-redemption fee (3)
Investors should pay attention to the fact that the redemption fee income stipulated by each fund may be different. Some regulations only deduct a small part of the handling fee, most of which will be owned by the fund; Some regulations treat all or most of them as handling fees, but not only a small part of them as fund assets, so that if you partially redeem them, the former will be more beneficial to you, and under the same circumstances, the net value of the fund shares you hold will be higher than the latter.
Move the total redemption amount in formula (2) to the left of the formula, and you will get:
Redemption Rate = Redemption Fee/Redemption Total (4)
It can be seen from Formula (4) that the redemption rate is the ratio of the redemption fee to the total redemption amount.
If the numerator and denominator of Formula (4) are multiplied by 100, Formula (4) becomes:
Redemption rate = redemption fee/total redemption amount × 100%? (5)
As can be seen from Formula (5), the redemption rate is the proportion of redemption expenses to the total redemption amount.
Extended data:
Redemption time of fund redemption:
The subscription and redemption of the fund shall start within 3 months after the fund contract comes into effect, and the fund manager shall make an announcement on at least one designated media and the fund manager's Internet website (hereinafter referred to as the "website") 2 days before the specific date of subscription and redemption.
Fund redemption generally requires two working days for system confirmation and then liquidation. The fund subscription and redemption can only be said to be successful if it is confirmed by the T+2 system.
The general redemption process of open-end funds is: T day is not reported, T+ 1 has been reported, and T+2 has been completed. The fund subscription and redemption can only be said to be successful if it is confirmed by the T+2 system.
It is normal to display the uncommitted orders on the submission date (T date). Even if the order is placed around 2:50, as long as records are found in the entrusted inquiry, it will generally be submitted on the second trading day (T+ 1 day) and completed on the third trading day (T+2). And then after liquidation. Therefore, open-end funds generally take about 4 working days. Other overseas funds are generally within 10 days.
Baidu encyclopedia-fund redemption
Baidu Encyclopedia-Fund Redemption Rate