What's the difference between funds and stocks?
1, different risks: the risks faced by stocks include liquidity risk, business style risk of listed companies and systemic risk; The fund is equivalent to buying a basket of stocks, and the risk is managed by the fund manager, so the risk of the fund is lower than that of stocks.
2. Different issuers: the stock is the certificate issued by the company in the market, and investors redeem the shareholders of the company in the market after buying the stock. A fund is a product of a collective asset management plan issued by a fund company, and investors call it a shareholder of the fund after purchasing it.
3. Different returns: stocks are accompanied by high risks and high returns; The risk and return of the fund are relatively moderate.
4. Different trading places: stocks can only be traded on the market, while funds are divided into OTC funds and on-market funds according to different issuance methods.
5, different investment methods: buying stocks requires investors to analyze themselves and grasp the buying and selling points themselves; Buying a fund means giving money to the fund manager for investment. The more professional the fund manager is, the more trading points he has.