Many investors find that the newly subscribed fund has been deducted a large fee before making any money, so it is necessary to know the details of the fees to be deducted in advance. Do you know what the expenses are for buying a fund?

1. In-price expenses

include management fees, custody fees, sales service fees, etc. They are directly deducted from the fund assets, and these expenses are automatically deducted from the net value of the fund you see. Generally speaking, there is a fair market rate for such in-price expenses, and most funds follow market practices.

2. Out-of-price fees

include subscription fees, subscription fees and redemption fees, which are deducted from your account at one time when you buy or sell the fund, and are not included in the net value of the fund. At the same time, the rate can be optimized through your own operation.

how to reduce the handling fee?

1. Except for highly liquid funds, subscription fees are inevitable in general, but now many fund companies will discount the subscription fees, and investors can invest in such funds to reduce costs.

2. Increase the holding period. The redemption fee is charged according to the investor's holding period. Under normal circumstances, investors who have held the fund for more than three years will not be charged any redemption fee.

3. Sales service fees are basically paid by Class C funds. The general foundation saves this fee.

4. Custody fees, management fees, etc. are the fees paid by investors to fund companies, which must be paid. On-market funds and off-market index funds generally charge .5%.