1. What is the transaction fee of the on-site fund?
The transaction cost of ETF funds mainly includes two parts: transaction commission and market cost. Among them, the trading commission is the income of the dealer, and the quotation fee is the fee charged by the exchange.
1. Transaction commission
Trading commission refers to the transaction fee paid by investors to traders, which is usually calculated according to a certain proportion of the transaction amount. In ETF on-site fund trading, the transaction commission rate is generally between 0.05% and 0.5%, and different securities companies have different rates. Generally speaking, the trading software and trading experience of securities companies with lower commissions are relatively poor, while the trading software and trading experience of securities companies with higher commissions are relatively good.
2. Market cost
Market fees refer to the fees charged by the exchange to investors, including the transaction fees and liquidation fees of the exchange. Exchange transaction fee refers to the transaction fee charged by the exchange to investors, which is generally calculated according to a certain proportion of the transaction amount. For example, the transaction fee of Shanghai Stock Exchange is 0.00 1%~0.002%. Clearing expenses refer to the expenses incurred by the exchange for clearing the exchange, which are generally calculated according to a certain proportion of the transaction amount. For example, the clearing fee of Shanghai Stock Exchange is 0.0002%.
Second, other related expenses
In addition to trading commissions and market fees, there are other fees for fund trading in ETF, as follows:
1. Purchase and redemption fees
The subscription and redemption of ETF need to pay a certain fee, which is different from the transaction commission and market fee and is paid directly to the fund management company. The subscription fee of ETF is generally 0.05%-0.5%, and the redemption fee is generally 0.05%-0.3%.
2. Management fee
The management fee of ETF is the fee that investors need to pay for holding ETF, and it is also paid directly to the fund management company. Management fee is usually a certain proportion of fund assets, generally between 0. 1%-0.5%.
Third, summary.
To sum up, the transaction cost of ETF funds mainly includes two parts: transaction commission and market fee, in which the transaction commission is the income of traders and the market fee is the fee charged by the exchange. There are other related expenses for ETF on-site fund transactions, such as subscription and redemption fees and management fees. When choosing ETF trading platform, investors should comprehensively consider the commission rate, trading software, trading experience and other factors, and choose the most suitable trading platform.