fund classification
funds can be divided into different types according to different standards:
(1) according to whether the fund unit can be increased or redeemed, it can be divided into open-end funds and closed-end funds. Open-end funds are not traded on the market (it depends on the situation), and the fund size is not fixed through subscription and redemption by banks, brokers and fund companies; Closed-end funds have a fixed duration, generally listed and traded in securities exchanges, and investors buy and sell fund units through the secondary market.
(2) According to different organizational forms, it can be divided into corporate funds and contractual funds. Funds are established by issuing fund shares to establish investment fund companies, which are usually called corporate funds; Fund managers, fund custodians and investors are established through fund contracts, which are usually called contractual funds. China's securities investment funds are all contractual funds.
(3) According to the difference of investment risks and returns, it can be divided into growth funds, income funds and balanced funds.
(4) According to different investment objects, it can be divided into stock funds, bond funds, money market funds, futures funds, etc.
the relationship between open-end fund and closed-end fund
1. The isomorphism of open-end fund and closed-end fund has become two basic modes of fund operation.
2. Open-end funds refer to investment funds whose scale is not fixed, but can issue new shares or be redeemed by investors at any time according to market supply and demand. Closed-end funds, as opposed to open-end funds, refer to investment funds whose fund size has been determined before issuance, and whose fund size remains unchanged after issuance and within the prescribed time limit.
3. Before 24, open-end funds were not listed on the stock exchange, but were generally purchased and redeemed through consignment agencies such as banks or direct selling centers. After 24, China innovated the operation of open-end funds and allowed some open-end funds to be listed on the stock exchange, which became listed open-end funds (LOF). The scale of the fund is not fixed, and the fund unit can sell it to investors at any time or buy it back at the request of investors; There is no duration, and theoretically it can exist forever; The price is determined by the net asset value. Closed-end funds have a fixed duration, during which the fund scale is fixed, generally listed and traded on the stock exchange, and investors buy and sell fund units through the secondary market; You are not allowed to accept new shares and offer shares for a period of time until a new round of opening-up, when you open up, you can decide how much you offer or how much you invest again, and newcomers can also buy shares at this time; Generally, the opening time is 1 week and the closing time is 1 year; The price is determined by the relationship between supply and demand, and the net value of the fund will affect the fund price, but the two are not unified. Usually, closed-end funds trade at a discount.
4. Open-end fund is one of the basic forms of fund operation all over the world. Fund management companies can sell new fund units to investors at any time, and also need to buy back the fund units they hold at any time at the request of investors. Open-end funds have become the mainstream of the international fund market, and more than 9% of the fund markets in the United States, Britain, Hongkong and Taiwan Province are open-end funds.