Fund cash dividend refers to a dividend method in which a fund company distributes part of fund income to fund investors in cash. Fund dividend reinvestment means that when the fund pays the dividend in cash, the fund holder directly purchases the fund with the cash obtained from the dividend and converts the dividend into holding fund shares. For fund managers, there is no cash outflow from dividend reinvestment. Therefore, dividend reinvestment usually does not charge subscription fees.

If the fund dividend is reinvested, the increased share shall be calculated according to the net value on the dividend payment date. Although the subscription before dividends can get dividends and be converted into fund shares, the subscription after dividends can buy more fund shares with the same subscription amount due to the decline in the net value of the fund. Fund dividend means that the fund company distributes part of the fund income to investors. Cash dividend means that the fund company distributes part of the fund income to fund investors in cash; Dividend reinvestment is a way for fund investors to reinvest the cash dividends obtained from dividends in the fund to obtain fund shares.

Cash dividends are generally divided into fund cash dividends, stock cash dividends and insurance cash dividends, which refers to the way that fund companies, stock listed companies or insurance companies distribute part of the company's income to investors in cash. Among them, fund cash dividend refers to the re-purchase of dividend funds, which is called fund dividend reinvestment. Stock cash dividends are divided into cash dividends and stock dividends. Insurance cash dividend refers to the dividend insurance that distributes the company's surplus to the insured in a certain proportion.

The cash dividends of the Fund will be directly transferred to the current account of investors, and investors do not need to withdraw them manually. The cash dividend of the fund refers to the distribution of a part of the fund's net value to investors, which is not additional income, and dividends will not bring actual income to investors. Fund dividends include cash dividends and dividend reinvestment. Cash dividends will be transferred to the investor's current account. Dividend reinvestment refers to the use of the fund company's dividend to continue to buy funds, resulting in an increase in fund shares.