Today is March 16, Wednesday. The three A-share indexes collectively opened higher, with an increase of more than 1%.

However, the market showed a downward trend in early trading, and the Shanghai Composite Index fell more than 1%, hitting a new low in the year. Before noon, the market rebounded quickly and turned red.

In the afternoon, boosted by the good news that Liu He hosted a meeting of the the State Council Financial Committee to study the current situation, A shares and Hong Kong stocks rebounded strongly, with the Shanghai Composite Index rising more than 3%, the Shenzhen Component Index rising more than 4% and the Growth Enterprise Market Index rising more than 5%.

As of 15: 00 pm, the Shanghai Composite Index rose 3.48% to 3 170.7 1, the Shenzhen Composite Index rose 4.02% to 12000.96, and the Growth Enterprise Market Index rose 5.2% to 2635.08.

The total turnover in Shanghai and Shenzhen stock markets was 11920.4 billion yuan, exceeding1trillion yuan for two consecutive trading days.

The actual net outflow of northbound funds was 82 million yuan. The daily limit of the two cities is 139, with 9 daily limit (including ST shares).

After the recent decline, I saw some news that some funds were closed by the limit.

A friend asked, when will the fund be liquidated? What should I do if the fund I bought is liquidated?

1. Usually some private equity funds will set a liquidation line.

Because private equity funds can leverage to invest in stocks, or only focus on investing in 1-2 stocks.

Both of these investment strategies may lead to the permanent loss of the principal of private equity funds.

Therefore, many channels of this kind of private equity fund require to raise the liquidation line when the fund is established.

Once close to the liquidation line, it is necessary to forcibly sell stocks and reduce stock positions.

However, not all private equity funds have liquidation lines.

For example, many FOF private placements have no liquidation line without leverage.

2. Most publicly issued funds have no liquidation line.

Public Offering of Fund usually doesn't go into liquidation because of the decline.

However, there is also liquidation in Public Offering of Fund, that is, after the decline, the scale of the fund has shrunk to a very small scale.

If the scale is only tens of millions, it is possible to liquidate. Don't worry too much about this liquidation.

The foundation returns the funds to investors according to the net value of a certain day.

However, it takes time to close the position. If it happens to be in the stage of better investment opportunities in the bear market, there will be some delays.

Therefore, Public Offering of Fund is generally not considered, and the scale is too small (below 654.38 billion yuan).

In this way, the risk of liquidation is much smaller.

Disclaimer: The subject matter involved in the article is not recommended as an investment. The market is risky and investment needs to be cautious.

Related Q&A: If the fund falls, it will close its position 1, and the number of fund share holders will not reach100 for 60 consecutive days; 2. The net asset value of the fund has been close to or below 50 million yuan for 60 consecutive days; 3. The fund is above 0.3 yuan, and there is only the risk of liquidation; When the fund is lower than 0.3 yuan, it will automatically enter the liquidation procedure. (except liquidation guarantee) Fund liquidation refers to the realization of all fund assets and the distribution of income to holders. The liquidation time is stipulated in the fund contract when the fund is established. The holders' meeting may modify the fund contract and decide the liquidation time of the fund. The difference between open-end funds and closed-end funds (1) The variability of fund scale is different. Closed-end funds have a definite duration (in China, the duration is not less than 5 years), during which the issued fund shares cannot be redeemed. Although this kind of fund can be raised under special circumstances, it must meet strict legal conditions. So in general, the size of the fund is fixed. However, the fund shares issued by open-end funds can be redeemed, and investors can also buy fund shares at will during the duration of the fund, which leads to the constant change of the total amount of funds every day. In other words, it is always in an "open" state. This is the fundamental difference between closed-end funds and open-end funds. (2) There are different ways to buy and sell fund shares. When a closed-end fund is initiated, investors can subscribe to the fund management company or sales organization; When closed-end funds are listed and traded, investors can entrust brokers to buy and sell at market prices on the stock exchange. When investors invest in open-end funds, they can purchase or redeem them from fund management companies or sales organizations at any time. (3) The buying and selling prices of fund shares are formed in different ways. Because closed-end funds are listed on the exchange, their buying and selling prices are greatly influenced by the relationship between market supply and demand. When the market supply is less than the demand, the buying and selling price of the fund unit may be higher than the net asset value of each fund unit, and then the fund assets owned by investors will increase; When the market supply exceeds demand, the fund price may be lower than the net asset value of each fund unit. The transaction price of open-end funds is calculated based on the net asset value of the fund unit, which can directly reflect the level of the net asset value of the fund unit. In terms of fund transaction costs, investors have to pay a certain percentage of securities transaction tax and handling fee in addition to the price when buying and selling closed-end funds, just like buying and selling listed stocks; The related expenses (such as initial subscription fee, redemption fee, etc.) that investors of open-end funds need to pay are included in the fund price. Generally speaking, the transaction cost of closed-end funds is higher than that of open-end funds. (4) The investment strategies of funds are different. Since closed-end funds cannot be redeemed at any time, all the funds raised can be used for investment, so that fund management companies can formulate long-term investment strategies and achieve long-term business performance. Open-end funds, on the other hand, must keep some cash for investors to redeem at any time, but not all of them are used for long-term investment, and generally invest in assets with strong liquidity.