Exchange-traded open-end index funds (ETFs for short), on the one hand, can be bought and sold on exchanges like closed-end funds (transactions are made at market prices), and on the other hand, they can be subscribed and redeemed like open-end funds (only for

On-site application and redemption, transaction based on net value).

The biggest feature of ETF is that its subscription is to exchange a basket of stocks for ETF shares, and redemption is to exchange fund shares for a basket of stocks instead of cash.

(There are currently some ETFs that are subscribed and redeemed in cash, such as the Hang Seng Exchange-traded Open-End Index Securities Investment Fund (159920). Please refer to the fund company’s announcement.) ETFs have a “minimum subscription and redemption share” requirement. Usually, the minimum subscription and redemption amount is

The unit is 500,000 or 1 million, and subscription and redemption must be carried out in multiples of the minimum subscription and redemption unit.