Generally speaking, a single-day net redemption exceeds 65,438+00% of the total fund share, which will trigger a huge redemption. If the fund company decides to completely pass the redemption application, it needs to be sold urgently, because the fund generally only needs to keep 5% of cash or treasury bonds with a maturity of less than one year, so the huge redemption stipulated in the fund contract can not be fully satisfied, but at least 65,438+00% of the fund share must be redeemed, and more than 65,438+00% must be guaranteed. Therefore, when the fund is redeemed, investors will generally ask, what if there is a huge redemption? One way is to give up redemption, and the other way is to postpone redemption.

Regarding the suspension of redemption, the situation caused by different funds is not completely consistent, generally including the following situations:

1. The Fund cannot operate normally due to force majeure.

2. The trading hours of the stock exchange are abnormally closed, which makes it impossible for the fund manager to calculate the net asset value of the fund on that day.

3. The valuation of fund assets stipulated in the fund contract is suspended.

4. When the fund manager thinks that accepting one or part of the subscription application may affect or damage the interests of the existing fund share holders.

5. The scale of the fund assets is too large, which causes the fund manager to be unable to find a suitable investment variety, or other circumstances that may have a negative impact on the fund performance, thus damaging the interests of the existing fund share holders.

6 laws and regulations or other circumstances identified by the China Securities Regulatory Commission.

The fourth point is to refuse redemption. For a single investor, the rest are suspended redemption. These situations are not common, and there may only be a third point. In addition, for ETF linked funds, when ETFs cannot be valued, it may also lead to the suspension of redemption of linked funds.