ETF is an exchange.

trade

English abbreviation of Fund, translated into Chinese as "transactional open index fund", also known as exchange traded fund. ETF is essentially an open-end fund, which is not essentially different from the existing open-end funds. But it also has its own distinct personality in three aspects: first, it can be listed and traded on the exchange, and investors can buy and sell ETF shares directly on the exchange like trading individual stocks and closed-end funds; Second, ETF is basically an index-type open-end fund, but compared with the existing index-type open-end fund, its biggest advantage is that it is listed on the exchange and the transaction is very convenient; Third, its purchase and redemption also has its own characteristics. Investors can only subscribe or redeem ETFs with a basket of stocks corresponding to the index, but not with existing open-end funds for cash subscription and redemption.

The launch of Harvest CSI 300ETF is leading the product innovation of fund industry into a new development stage. Cross-market ETF has realized the joint operation of securities trading and registration and settlement systems in Shenzhen and Shanghai for the first time. Its launch is not only a milestone for the in-depth development of index resources and the realization of stock index futures functions, but also opens up technical space for other large commodity ETFs in the future.