As the name implies, the initial fund is the fund issued for the first time. If you buy a fund, many people like it best, because it is more in line with their own needs and takes a fancy to the advantages of the initial fund. Let's take a look at the advantages of the initial fund.

What are the advantages of the initial fund?

The subscription cost of 1 is low, and the initial fund net value is low, so the cost will be much lower when investors buy the same share.

2 Very flexible, the initial fund can restart the allocation of positions and stocks.

3. Easy to manage, the initial fund has no capital flow risk during the closed period, which is convenient for the fund manager to manage.

4 more stable, the new fund has just entered the market, the loss range and fluctuation are not as big as the old fund, and it is relatively more stable.

5 more attractive, start-up funds often choose hot sectors or industries, and if they are star fund managers, they will be more attractive.

Initial public offerings usually have a minimum purchase amount. For investors with a small amount of funds, it is difficult to come up with a sum of money at one time, and the length of locking time will also affect their demand for the use of funds. During the closed period, it will not be affected by the liquidity impact caused by a large number of purchases and redemptions.