Characteristics of monetary funds
Compared with traditional funds, money market funds have the following characteristics: 1. The main difference between money market funds and other funds that invest in stocks is that the net asset value of fund units is fixed, usually per fund unit 1 yuan. After investors invest in this fund, they can reinvest with the proceeds, and the investment income will accumulate continuously to increase the fund share owned by investors. For example, an investor who invests in a money market fund of 100 yuan can own 100 fund shares. After 1 year, if the return on investment is 8%, the investor will have 8 more fund shares, totaling 108, with a value of 108 yuan.