1 has different meanings.

ETF (Exchange Index Open-end Fund) is an open-end fund that tracks an index and can be listed on the exchange.

LOF Fund is a listed open-end fund, a kind of fund initiated by China, and a Chinese ETF fund.

2. The place of purchase and redemption is different.

ETF and LOF combine the characteristics of closed-end funds and open-end funds, which can be purchased in the primary market and redeemed in the secondary market. But the place of purchase and redemption is different.

ETF Fund: Purchase and redemption can only be carried out on the exchange, that is, only on-site transactions can be carried out;

LOF fund: it can be carried out at exchanges and consignment outlets.

3. The targets of subscription and redemption are different.

ETF fund: adopting "physical purchase and physical redemption". Investors buy a basket of stocks and redeem a basket of stocks.

LOF Fund: The fund can buy a basket of stocks, but it redeems cash.

4. Different trading restrictions.

ETF Fund: ETF has a high threshold, and the minimum transaction requirement is more than 500,000 copies. Only investors with large funds can participate;

LOF Fund: LOF has no special requirements for subscription and redemption, and ordinary investors can also participate.

5. Different investment strategies.

ETF fund: ETF fund tracks an index, such as SSE 50eft tracks SSE 50 index, which completely copies the constituent stocks of SSE 50, so it is a completely passive investment method.

LOF Fund: LOF Fund is just an ordinary open-end fund, which can be listed on the exchange. It can be passive investment or active investment.

6. The frequency of online quotation is different.

In the secondary market, ETF funds provide fund quotations every 15 seconds, LOF funds provide fund quotations every 1 day, or provide fund quotations several times every 1 day.

LOF funds are called "open-end funds" in English and "listed open-end funds" in Chinese. In other words, after the issuance of listed open-end funds, investors can purchase and redeem fund shares at designated outlets, or buy and sell funds on exchanges.

However, if investors want to sell the fund shares purchased at designated outlets, they must go through certain transfer custody procedures; Similarly, if you want to redeem the fund shares you bought online on the exchange and redeem them at designated outlets, you must also go through certain transfer custody procedures.