How does an open-end money fund make a profit? How exactly is it calculated?

In practice, it is mainly time deposit and short-term bond investment, which can generally be compared with the income of 120 bank wealth management products.

If the funds are large, you can apply for Grade B, otherwise it will be Grade A. The cost of Grade A/B is different. The total cost of Grade A is about 0.68%, and that of Grade B is about 0.44%. This reaction is deducted from the fund's rate of return.

Under simple estimation, if the yield of 120-day wealth management products is 5. 1%, the yield of A is 4.42% and the yield of B is 4.66%.

When choosing, look at the long-term 7-day annualization, such as 1 month. Give priority to the stable one, and then choose the one close to the previously calculated data. The short-term rate of return is extremely high, which means that the risk of choosing the fund investment object is relatively high.