What does OTC fund mean?
OTC funds refer to those funds that trade outside the trading place. Over-the-counter funds only have a net value every day as the purchase and redemption price, while closed-end and LOFETF are on-exchange funds, which are traded on exchanges, just like stocks. Usually, the funds we buy on Alipay, Tian Tian Fund and other websites are OTC funds.
OTC funds are relative to trading platforms, which does not mean that OTC funds are superior to OTC funds, nor does it mean that OTC funds are superior to OTC funds. OTC funds are funds that can be bought through stock trading software just like buying stocks. OTC funds are funds that you must go to banks, brokers, fund companies or third parties to buy.
Funds bought over the counter are called OTC funds. Generally speaking, funds are either OTC funds or OTC funds. However, there is a special existence: LOF fund, which he can buy in the market or off-site. Whether you buy a fund on or off the market, there will be costs: transaction costs and holding costs.
After reading the above introduction, I believe everyone has a better understanding of OTC funds. Finally, I would like to remind you that you can only buy funds outside the market, and stocks and convertible bonds can only be bought on the market. OTC funds quote once a day.