As can be seen from the regulations, the conditions for fund liquidation are harsh. On the one hand, as a wealth management product, funds have been widely recognized and accepted. At present, the base of domestic funds is very large, and it is basically impossible for a fund to have fewer than 65,438+000 fund share holders for 60 consecutive days.
On the other hand, although it is simply calculated by net value, it is not excluded that the net assets of individual funds are close to or below 50 million yuan due to the impact of splitting or dividends. Even if the size of the fund once fell below 50 million yuan, as long as it did not appear for 60 consecutive days, it did not meet the conditions for liquidation.
Open-end funds generally do not stipulate their own duration, but in some cases, open-end funds can make liquidation decisions and end their existence through the liquidation and distribution of fund assets.
Overseas, there are several situations in which open-end funds need to be liquidated:
1. According to the provisions of the fund contract or articles of association: if Taiwan Province Province stipulates the reasons for the termination of securities investment in trust deed, it shall be in accordance with the provisions of trust deed on securities investment, unless otherwise stipulated by laws and regulations.
2. Resolutions adopted by the holders' meeting or shareholders' meeting: If there are provisions in the UK, open-end funds can be liquidated by special resolutions. The liquidation of open-end funds in Hong Kong also needs the resolution of the holders' meeting.
3. The competent authority cancels the open-end fund license.
What should I do if the shock market comes?
1) In a volatile market, there is little chance for the index to rise, and the fund investment should be mainly based on the allocation of actively managed products (such as stocks and hybrids). In particular, the hybrid fund with "advance, attack and retreat" has a wide range of positions because stock investment accounts for 30%-90%. In the volatile market, fund managers can also reduce their positions to minimize losses.
2) The characteristic of volatile market is that different industries will rotate. Therefore, the fund should not stick to one investment style, preferring the value investment and technology of low-valued blue chips, and the growth style investment of media and communication should also be combined;
3) In a volatile market, equity assets will suffer losses to varying degrees. Therefore, bond funds, especially pure debt funds, can avoid the risk of stock market fluctuation to the maximum extent because they do not participate in stock investment and innovation in the secondary market. Although the expected annualized expected return of the money fund is low, it is as secure as the pure debt fund.