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What is a fund and what is the difference between it and a brokerage firm?
1, different definitions

A brokerage company is a company dealing in securities, or a securities company. There are CITIC, Shen Yin Wanguo, Qilu, Yinhe, Huatai, Guo Xin and Guangfa in China. In fact, it is the agent of Shanghai Stock Exchange and Shenzhen Stock Exchange.

Fund broadly refers to a certain amount of funds set up for a certain purpose. It mainly includes trust and investment funds, provident funds, insurance funds, retirement funds and funds of various foundations.

2, the content is different

Brokers are financial institutions engaged in investment intermediaries, such as buying and selling stocks and futures. And the popular point is that securities companies are qualified to trade. The actual operation of the transaction is carried out by oneself, and the broker charges a certain fee.

Funds are financial products issued by fund companies. Buying a fund means that the fund company invests for you at a small cost and gives you the money. It is responsible for all transactions, and the final income is your income after deducting the company's operating costs. In the meantime, your money is in the hands of the fund company.

3. Different in nature

Brokerage means that everyone needs to open an account in the securities business department, which is a branch of brokerage. The larger brokers are Guotai Junan, Shen Yin Wanguo and Guangfa Securities. Brokers are independent enterprises, not only engaged in securities trading, earning intermediary commissions, but also engaged in underwriting new shares. Brokers generally have their own research teams and can buy and sell securities on their own.

The fund is an institution entrusted with financial management, and a certain management fee is charged according to the scale of the fund, which is used for personnel expenses and daily office expenses. The remaining profits belong to investors. There are strict regulations on the investment direction of funds, and generally only stocks and bonds can be bought and sold.