Dividend reinvestment is an automatic subscription based on the dividend amount on the payment date and the net value of the fund on that day, and the subscription fee is generally exempted. After the transaction, the dividends will be converted into fund shares, and the holders' fund shares will be increased, and the profits and losses will be borne by themselves.

Dividend 2 yuan for every 10 fund share. Actually, after a while. Then: suppose: fund share × fund net value = 10000× 1. Total assets after dividends = fund assets+cash dividends =14000+2000 =16000 yuan. Let me show you the situation before and after the dividend, which is equivalent to putting the money in the left pocket into the right pocket.

Extended data:

For example (calculated by cash dividends), it is clear at a glance that the fund share × net present value =1000x1.2 yuan, the assets of investors before dividends are zero, and it is hoped that the fund will have more room for appreciation, 6 yuan. After dividends, the net present value of the fund will be reduced, which is 2× 10000 = 2000, which is beneficial to investors who pay cash dividends.

So, 4= 14000 yuan. Through the above calculation, we can see that the fund company decided to pay dividends to the fund.