The CSRC stipulates that the assets of the fund cannot be placed in the hands of the fund company, and the fund company and fund manager are only responsible for trading operations and cannot touch money. Need to find a good bookkeeping, high credit, this role belongs to the bank. Therefore, these fund assets are placed in banks and kept by banks, which is called fund custody.

The service fee of the bank (called the fund custody fee) must also be drawn from the assets of the partnership and paid to the bank every year. Therefore, relatively speaking, only those experts (fund companies or fund managers) have the risk of loss due to poor operation, and there is basically no risk of theft.

Extended data:

Closed-end funds and open-end funds

If this kind of Public Offering of Fund is announced to be established after raising investors within the prescribed time limit, it will stop attracting other investors and stipulate that no one can withdraw from the fund halfway, but until a certain month in the future, everyone will share the money equally. If you want to realize it halfway, you can only find someone else to sell it yourself. This is a closed-end fund.

This kind of Public Offering of Fund, if declared, still welcomes other investors to invest at any time, and at the same time allows everyone to withdraw their own funds and due income at any time. This is an open-end fund. Most domestic and foreign funds are open-end funds, and investors can purchase or redeem them at any time.