There are many forms of mutual funds in the world, but according to their legal status, they can be divided into contract type and company type. Contract type is an agency investment behavior organized based on certain contract principles. It consists of three parties: the client, the beneficiary and the trustee. The trustor is the setter of fund investment, that is, setting up and organizing various funds, issuing beneficiary securities, handing over the raised funds to the trustee for management, and at the same time making specific investment use of the raised funds. The following are the main differences between contractual investment funds and corporate investment funds that I have sorted out, hoping to help everyone.

The main differences between contractual investment funds and corporate investment funds are as follows:

(1) The legal basis is different. Contractual funds are established according to fund contracts, and trust law is the basis for the establishment of contractual funds; The company fund is established according to the Company Law.

(2) Different legal person qualifications. Contract funds do not have legal person status, while corporate funds themselves are joint-stock companies with legal person status.

(3) The status of investors is different. As the beneficiary of trust deed's regulations, investors of contract funds usually have no say in the important investment decisions made by how to use the funds; Investors of company funds, as shareholders of the company, have the right to examine and approve major decisions of the company and express their opinions.

(4) Different financing channels. The company fund has the legal person status. When the funds are in good condition and the business is developing smoothly, it is necessary to expand the company's scale and increase its assets, it can borrow from banks: contract funds generally do not borrow from banks because they do not have legal person qualifications. The main difference between contract investment funds and corporate investment funds lies in economic papers.

(5) The nature of operation is different. Contractual funds operate fund property by virtue of fund contracts; The company's funds are operated in accordance with the articles of association.

(6) Different fund operations. Corporate funds, like ordinary joint-stock companies, are generally permanent unless they reach the bankruptcy liquidation stage stipulated in the Company Law; The contractual fund is established and operated according to the fund contract. When the contract expires, the fund operation is terminated.

From the perspective of investors, there is not much difference between the two investment methods. As for which way a country adopts, it should be analyzed according to the specific situation. At present, many countries and regions adopt the method of coexistence of two types, and strive to make use of their advantages.