It is not up to them. The general retail investors, especially those who just buy MF and let others to manage their money see their accounts lost half of the value and panicked.
-moneygrubber(股东);
2008-10-9{193}(#51953@43)
So they just sell. The fund managers have to sell to give the money back to them. CNBC's Maria said before 5 PM that the redeemption of MF contributed the sharp sell-off at the end of today.
No idea. If my memory sever me well, the stocks bought by the funds will be put in 3rd-party.
-moneygrubber(股东);
2008-10-9{196}(#51960@43)
So even the MF companies go bankrupt, just like your bank account, your broker account is insured up to a certain amount, something like 1 million, or so (your bank account is insured up to 100k.)
I see: It means large amounts of money pulled from mutual funds.
-fromfaraway(远行者);
2008-10-9(#51944@43)
If so, this is good news.
-moneygrubber(股东);
2008-10-9(#51941@43)
Why it is a good news?
-fromfaraway(远行者);
2008-10-9(#51945@43)
Some of the times, or most of the times, when the retail investors panick and sell their stocks and mutual funds, then the bottom is reached. But no one knows this time when the bottom will be reached.
-moneygrubber(股东);
2008-10-9{68}(#51954@43)
Anyway, at least this will accelarate the speed to reach the bottom.