Floor means the stock market. Like stocks, you can buy and sell with stock accounts. For example, ETFs, LOFs and closed-end funds are the most common floor funds. On-site funds are funds listed and traded on the exchange.
OTC funds are funds that can be sold by banks, securities companies, third-party fund platforms and fund companies except the stock market, such as Alipay, WeChat, Bank APP, Tian Tian Fund and so on.
If you want to buy an OTC fund, you have to open a securities account first. Compared with OTC funds, OTC funds have certain limitations in trading.
OTC funds do not need to open a securities account for trading. It can be sold through banks, securities companies, third-party fund platforms and funds directly sold by fund companies, such as Alipay, WeChat, Bank APP, Tian Tian Fund, etc., and it is very convenient.
Secondly, on-site funds have more advantages than off-site funds in delivery system and handling fee. When buying and selling, the rate is lower. On the same day, the fund on the floor shall be submitted for sale, and the transaction price shall be subject to the current transaction price, and the fund will be withdrawn in time on the next working day of the account. On-site funds only receive trading commissions, which are similar to those of stocks, unless they are specially set up.
The trading methods of OTC funds include subscription, subscription and redemption. Different subscription amounts apply to different rates, and different channels will also have different rate concessions. Take Tian Tian Fund as an example, the subscription fee of this fund is basically 1 discount. For example, for a stock fund, the daily subscription fee is 0. 15%.
Summary: In fact, both OTC and OTC funds have their own advantages and disadvantages. It is not necessarily said which fund is more suitable for investment. Everyone chooses according to their own situation and preferences. Generally, there are three situations:
1. If you like low-rate funds, you can choose to buy ETF or LOF funds in the market.
2. If you want to choose a variety of funds, you can buy general funds, enhanced funds, quantitative funds, strategic funds, theme funds and so on.
3. If you are an office worker, you have a lot of work at hand every day, you don't have time to watch the market, or you want to make a fixed investment, you can consider choosing an OTC fund.