1, with different definitions. Qualified QFII can invest in China and qualified QDII can invest abroad, all of which meet certain investment conditions, such as a minimum investment of 65,438+10,000 yuan.

2. The system is different. QFII system is a transitional system that introduces foreign capital and opens the capital market to a limited extent. The main purpose of QFII system is to restrict and guide the entry of foreign capital, make it adapt to the development of domestic economy and securities market, control the influence of foreign capital on the independence of domestic economy, curb the impact of speculative hot money from abroad on domestic economy, promote the internationalization of capital market and promote the healthy development of capital market.

3. The biggest difference between them lies in the opposition between investors and participating funds. From China's point of view, QFII is a fund manager who is issued in countries outside China and participates in China's capital, bonds or foreign exchange market through legal channels, while QDII is a fund manager who is issued in China and participates in China's capital, bonds or foreign exchange market through legal channels.

Both are defined as follows:

QFII is the abbreviation of English qualified foreign institutional investors, namely "qualified foreign institutional investors".

QDII is the abbreviation of "qualified domestic institutional investor", namely "qualified domestic institutional investor".

Extended data

QDII:

QDII is an investment system. The direct purpose of establishing this system is to "further open the capital account to create more foreign exchange demand, make the RMB exchange rate more balanced and market-oriented, encourage more domestic enterprises to go abroad, and thus reduce the trade surplus and capital account surplus", which is directly manifested in allowing domestic investors to directly participate in foreign markets and gain global market benefits.

QDII system was first proposed by Hong Kong government departments. Like CDR and QFII, it will be an expedient measure to open the mainland capital market under foreign exchange control, so as to allow domestic investors to invest in overseas capital markets when capital projects are not fully opened.

Compared with high-frequency trading, cross-variety, cross-market arbitrage and hedging trading are an ancient business in the futures market. After more than ten years of practice, a group of China investors have mastered the arbitrage skills correctly and skillfully. Because of their global vision and large capital capacity, they have greatly enriched market opportunities and trading means, so they can obtain stable and sustained returns. However, due to policy control, there has been no suitable platform for such investment to expand its scale.

The report of the Third Plenary Session of the 18th CPC Central Committee clearly put forward that "adapting to the new situation of economic globalization, promoting mutual promotion of domestic and foreign opening-up, and better combining bringing in and going out", which provided the source power for innovative business in domestic financial markets. 2013165438+10/8 With the joint efforts of China Merchants Fund, CITIC Futures and CITIC Securities International (Hong Kong), the first QDII cross-border arbitrage account was established to support global arbitrage, speculation and hedging.

QFII:

QFII system is a special channel to realize the orderly and steady opening of the securities market in countries and regions where the capital account has not been fully opened. Market experience including South Korea, China, Taiwan Province Province, India and Brazil shows that QFII is a stable way to introduce foreign capital through the capital market when the currency is not freely convertible. Under this system, QFII will be allowed to remit a certain amount of foreign exchange funds and convert them into local currency, and invest in the local securities market through a special account under strict supervision and management. All kinds of capital gains, including dividends, bid-ask spreads, etc., can be converted into foreign exchange for remittance after examination, which is actually a limited opening of the domestic securities market to foreign investors.

QFII is a transitional system for a country to introduce foreign capital and open its capital market to a limited extent when its currency is not fully convertible and its capital account is not yet open. This system requires foreign investors to meet certain conditions if they want to enter a country's securities market, remit a certain amount of foreign exchange funds after approval by the relevant departments of the country, and convert them into local currency through a special account under strict supervision to invest in the local securities market.

Baidu encyclopedia: QDII

Baidu Encyclopedia: QFII