LOF fund, also known as listed open-end fund (LOF), refers to the open-end securities investment fund issued and traded in Shenzhen Stock Exchange. Listed open-end funds not only have the characteristics of long-term investment of general open-end funds, but also have the advantages of diverse trading methods, high settlement efficiency and many arbitrage opportunities.

The main features of LOF fund are:

(1) Listed open-end funds are still open-end funds in essence, and the total amount of fund shares is not fixed. Fund shares can be purchased and redeemed at the time and place agreed in the fund contract.

(2) Investors can realize the conversion between trading in the trading system of Shenzhen Stock Exchange and purchasing and redeeming fund shares in consignment agencies such as banks through cross-system transfer custody.

(3) The sale of listed open-end funds combines the sales advantages of consignment agencies such as banks and the trading network of Shenzhen Stock Exchange. Banks and other agency outlets still use the current counter sales method, while the trading system of Shenzhen Stock Exchange adopts the popular online pricing and issuance method of new shares.

(4) After the listed open-end fund is approved to be listed and traded on the Shenzhen Stock Exchange, investors can choose to purchase and redeem the fund shares at the closing net value of the fund shares in banks and other consignment agencies, or they can choose to buy and sell the fund shares at the member securities business department of the Shenzhen Stock Exchange at the matching transaction price.