funds

funds are divided into broad sense and narrow sense. In a broad sense, funds are the general names of institutional investors, including trust and investment funds, unit trust funds, provident funds, insurance funds, retirement funds and funds of various foundations. Funds in the existing securities market, including closed-end funds and open-end funds, have the characteristics of income function and value-added potential. From the perspective of accounting, fund is a narrow concept, which means funds with specific purposes and uses. Because the investors of the government and institutions do not require investment returns and investment recovery, but require the funds to be used for designated purposes according to the law or the wishes of the investors, funds are formed.

The fund we are talking about now usually refers to the securities investment fund

The securities investment fund is an indirect way of securities investment. By issuing fund units, fund management companies concentrate investors' funds, which are managed by fund custodians (that is, qualified banks), managed and used by fund managers to invest in financial instruments such as stocks and bonds, and then * * * bear the investment risks and share the benefits. According to different standards, securities investment funds can be divided into different types:

-according to whether the fund units can be increased or redeemed, they can be divided into open-end funds and closed-end funds. Open-end funds are not listed and traded, but are generally purchased and redeemed by banks, and the fund scale is not fixed; Closed-end funds have a fixed duration, during which the fund scale is fixed. Generally, they are listed and traded on the stock exchange, and investors buy and sell fund units through the secondary market.

—— 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. At present, China's securities investment funds are all contractual funds.

—— According to the difference of investment risks and returns, it can be divided into growth funds, income funds and balanced funds.

-according to the different investment objects, it can be divided into stock funds, bond funds, money market funds, futures funds, etc.

according to different investment objects, securities investment funds can be divided into stock funds, bond funds, money market funds and hybrid funds. If more than 6% of the fund assets are invested in stocks, it is a stock fund; If more than 8% of the fund assets are invested in bonds, it is a bond fund; Money market funds that only invest in money market instruments; If it invests in stocks, bonds and money market instruments, and the ratio of stock investment to bond investment does not meet the requirements of bonds and stock funds, it is a mixed fund. From the perspective of investment risk, the risks brought by several funds to investors are different. Among them, equity funds have the highest risk, money market funds have the lowest risk, and bond funds have the middle risk. Due to different investment styles and strategies, the risks of the same kind of investment funds will be different. For example, stock funds can be divided into: balanced, steady, exponential, growth and growth according to the degree of risk. Of course, the greater the risk, the higher the rate of return; The risk is small, and the income is correspondingly lower.

Introduction to the trading of open-end funds:

◆ Preparation process

Before buying funds, investors need to carefully read the prospectus, fund contract, account opening procedures, trading rules and other documents related to the funds, and all fund sales outlets should have the above documents for investors to refer to at any time.

individual investors should bring the debit card of the correspondent bank and valid identification documents (ID card, military card or armed police card)

, while institutional investors should bring the original business license, organization code certificate or registration certificate, and the official seal copy of the above documents, power of attorney, ID card of the agent and a copy.

with the preparation materials, the customer fills in the application form for fund business at the bank's counter outlets, and then receives the business receipt. Individual investors also receive the fund trading card, and they can get the business confirmation at the counter two days after the fund business is handled. After receiving the business confirmation, the unit or individual can engage in the purchase and redemption of the fund.

◆ How to buy

After completing the account opening preparation, citizens can choose their own time to buy the fund. Individual investors can bring the debit card and fund trading card of the agent bank to fill in the application form for fund trading at the counter of the agency outlet (institutional investors should affix the reserved seal), and must submit the application before 15: on the day of purchase, which will be accepted by the counter and receive the receipt of fund business. Two days after handling the fund business, investors can print the business confirmation at the counter.

◆ How to redeem

When an investor intends to redeem the fund in his opponent's hand, he can bring the debit card and fund trading card of the opening bank, and also fill in and submit the transaction application form before 3 pm. After being accepted at the counter, the investor can inquire after 5 days, and the redeemed funds will be received.

◆ How to withdraw the transaction

If investors need to cancel the transaction, they can bring their fund transaction card and bank debit card and fill in the transaction application form at the counter before 15 o'clock on the day of the transaction, indicating the cancellation of the transaction. If after 15 o'clock, some banks can make an appointment transaction according to the quotation of the day and trade on the next working day.