Exchange of positions and fresh blood for index funds will definitely have a certain impact on index funds.
For the valuation of the fund, due to the changes in the constituent stocks, it will have a certain impact on the valuation of the fund to a certain extent, but it will not be too big, that is, it will not have a great impact on the net value of the fund, so investors need not worry too much.
There are different types of index funds, and the influence is different for different types of index funds.
From the development of index funds, index funds can be divided into market value-weighted funds and strategy-weighted funds. Market-weighted funds, represented by CSI 300, SSE 50 and CSI 500, are also the most common index funds. The funds weighted by strategy mainly include Fundamental 50, CCTV 50, Bonus Fund, CSI Bonus, Medicine 100, 300 Value, etc. For market value-weighted index funds, position adjustment will change the composition of constituent stocks and the weight of individual stocks in constituent stocks, and the fund valuation may rise or fall, so the impact of position adjustment is neutral.
For strategically weighted funds, especially dividend index and value index, the valuation of the fund will decrease every time the fund is converted into shares, while for other strategically weighted funds, the valuation will decrease with a high probability.
The position adjustment of index funds will not have much impact on investors' income. The position adjustment of the fund is completed by the background operation of the fund, and investors do not need to carry out additional operations.