An indicator that the fund market has to mention is retracement. If you want to invest in funds, you need to analyze the withdrawal and withdrawal rate. As we all know, the withdrawal rate is an index to measure the risk of funds in the market, and the withdrawal rate is directly proportional to the risk. Investors can use retracement as a reference index when choosing funds.

What is the highest withdrawal rate of the fund?

Investors can check the relevant indicators of the maximum withdrawal rate of funds in official website, a fund company, but most trading platforms will not display the maximum withdrawal amount of funds. Therefore, if users want to know the maximum withdrawal rate of the fund, investors need to calculate it manually. In addition, investors can also roughly calculate the historical maximum withdrawal rate of the fund through the historical net value trend chart on the fund information page.

How do investors calculate?

Maximum withdrawal rate of funds = (maximum net fund value-minimum net fund value)/maximum net fund value.

The maximum withdrawal of the fund refers to the biggest loss of the net value of the fund in a certain period of time. Therefore, if the user wants to calculate the maximum withdrawal rate of the fund, the user needs to select the calculation period. Usually, the maximum retracement of the fund refers to the size of the highest risk value of the fund in the past. According to the investment rules of the fund market, the smaller the maximum withdrawal amount of the fund means the smaller the risk, and the larger the maximum withdrawal amount of the fund means the greater the risk.