Redemption refers to the operation of investors returning the fund shares to the fund company, and the fund company pays the corresponding cash to the investor according to the net value. It is an entrustment of the primary market and the transaction object is the fund company.
Buying and selling refers to the transfer of fund shares from one holder to two holders. This is the secondary market, and the trading objects are investors like us.
Different transaction prices
Fund redemption is calculated based on the net value of the fund. There is only one net value of the fund a day, and it is calculated at the price after the closing of the day; transactions are settled according to the transaction price in the secondary market, which will change in real time according to the market supply and demand relationship.
Confirmation time is different
The behavior of fund buying is confirmed in real time on the same day and the income is calculated. Selling is also confirmed in real time, just like A shares.
Fund purchase and redemption require more time. For ordinary open-end funds, if you subscribe before the market closes on T day, you can generally check fund shares on T+2 day and calculate the income based on the net value on T day ; Redemption before market close on T day is generally confirmed on T+2 day. Due to factors such as domestic and foreign market exchange rates and time differences, the confirmation time for QDII funds will be longer.