a Clone Fund is also called a clone fund. It is to copy the design of a fund in a specific way (such as derivative products, etc.). There are generally two types.

type 1: copy the market performance of the target fund through financial derivatives. For example, due to legal and regulatory restrictions, when investors cannot directly invest in the target fund, they can invest in a financial derivative product first, so as to indirectly realize the investment in the target fund, that is, a curve investment strategy to avoid restrictions.

type 2: the same fund manager copies the structural content of a fund product. For example, Fund A managed by the same fund manager has reached the high-quality standards in terms of scale and net worth. At this time, the fund manager can copy the excellent structure of Fund A to Fund B, including investment direction, investment objectives, investment strategy, risk preference, operation mode, etc., in order to achieve similar performance.