1

"Jianping, a fund I recently bought will give me a dividend!"

"What's so happy about dividends?"

"Isn't the dividend a red envelope for the fund to make money?"

"Don't be too happy. Fund dividends are not red envelopes given to us by fund companies. Dividends only return the money that originally belonged to us, which is equivalent to putting the money in our left pocket in our right pocket. "

"How do you understand this sentence?"

"Anyone who has had a dividend experience knows that after the dividend, the net value of the fund will fall, how much it will fall, and the more points it will fall.

For example, the original net value of the fund you bought is 2 yuan, and there are 500 funds with total assets of 1 1,000 yuan. The dividend plan is 10 fund dividend 10 yuan. You chose the cash dividend method. Doesn't it look good? "

"This dividend plan looks very attractive and you can earn 500 yuan immediately!"

"But after dividends, the net fund value becomes 1 yuan, and your total assets become 500 yuan, which is equivalent to taking out the money originally belonging to you from the fund share and changing it from the left pocket to the right pocket. In fact, you got nothing. "

2

"Why does the net value of the fund fall after dividends?"

"This is also easy to understand. The original net value of a fund is 2 yuan, totaling * * * 1 100 million, with total assets of 2 billion yuan.

If the fund company comes up with a dividend plan for each 10 10 yuan, it is to divide the total assets of the fund by 10 billion yuan. At this time, the total assets will be 10 billion yuan, and the fund share will remain unchanged at 10 billion shares, so the net value of the fund will become 1 yuan. "

"The reason sounds simple, but why do so many people like dividends?"

"Simple truth doesn't mean everyone will understand!

In fact, many people don't know what dividends mean, especially those who have just invested in funds like dividends very much, and even many people care about whether to buy funds before dividends or after dividends. "

three

"Why should fund companies pay dividends? Since it is done, it is useless. "

"In fact, dividends still have certain benefits."

"What benefits?"

"We know that there is a charge for buying and selling funds. There must be a subscription fee for buying and a redemption fee for selling.

Fund dividend is equivalent to taking money out of the fund, without any cost, eliminating your redemption fee.

However, fund dividends are more of a way for fund companies to market. For newcomers who buy funds, it is best not to pay dividends, which is not good for us. "

four

"I think there are two ways for fund dividends, one is dividend reinvestment, and the other is cash dividend. Which one should I choose? "

"Dividend reinvestment is to continue to invest the fund's dividends into the fund, increase the original fund share, keep rolling and expand the investment scale.

For this kind of reinvestment, the fund company does not charge subscription fees, and encourages investors to continue investing in this fund.

For newly bought funds, I suggest reinvesting with dividends. What do you want with that dividend? Taking away the cash is equivalent to reducing the investment scale. If the market is good, you will lose the income. "

five

"When the market is not good, is it safer to pay dividends in cash? It's best to leave the bag!"

"When the market fluctuates, many people are discussing whether to close their positions, which is essentially to predict the market. But the market is unpredictable. What you want is to buy at a low market point and sell at a high market point. This operation method is called band operation, but it turns out that many people can't do it at all.

When you sell when you think it is high, the market continues to rise, and as a result, you are in a state of' stepping empty'; After buying at a low point, the market continued to fall, and the result was' stuck'.

There is a famous saying on Wall Street that the market is driven by greed and fear, and band operation is the best embodiment of greed and fear. Forecasting the market will only fail!

Therefore, unless you really leave the securities market, there is no possibility of falling into the bag. "

"I see, fund dividends are not as attractive as I thought. It doesn't mean much to long-term investors. I still choose dividend reinvestment to be more reliable. "