At present, the funds that most investors often contact are Public Offering of Fund, because the threshold of private equity funds is higher and the risk will be higher. So which is better, private equity funds or Public Offering of Fund? Let's take a look.

Private equity funds generally have a share lock-up period of 3 months, 6 months, 1 year, 2 years and 3 years. You can't redeem it during the lock-up period, but you can only redeem it on the open day. Generally speaking, they are open 1 time a month. Public Offering of Fund, on the other hand, is generally more flexible. Most of them have no lock-up period and can apply for redemption every day.

Under normal circumstances, the overall rate of return of private equity funds will be slightly higher than that of Public Offering of Fund. The capital invested by private equity funds will have a long lock-up period, and they can make long-term investments and enjoy dividend income from long-term investments.

In Public Offering of Fund, because most of them have no lock-up period, they can apply for redemption every day, so they need to face the constraints of investors' daily redemption. Most of them are short-term and highly liquid products, and they also need to reserve some cash.

There is no clear answer as to which is better, private equity fund or Public Offering of Fund. Can't compare directly. They have different investment logics and can be configured as needed.