What are the distinctions between accumulation and distribution funds?

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Можешь объяснить, в чём разница между фондами накопления и фонды распределения?

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With accumulation funds, the dividends you receive are automatically reinvested in the fund for compounding your investment in the fund. But distribution funds work differently as they distribute dividends for the investors which can be received as income or reinvested at will manually. Most people aim for long-term growth and hence, accumulation funds are recommended since they make reinvestment easier, which helps the fund grow further.
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