The centralized trading system of funds refers to the large amount of transactions conducted by fund companies in a certain way and time when they trade in the securities market. At the same time, fund managers need to abide by certain trading restrictions to ensure that their own interests are consistent with those of investors.
So, why is there a centralized fund trading system? In fact, this is closely related to the development of fund companies. In the past, some irregular fund companies concentrated a large amount of funds on individual stocks through their operations, which caused excessive impact on the market and even had adverse consequences such as crazy speculation and banker's attack. In order to prevent these problems, the centralized fund trading system came into being.
What are the benefits of the emergence of centralized fund trading system for investors? First of all, it can improve transaction efficiency and reduce transaction costs. Because all fund companies conduct large-value transactions at the same time, the cross-influence in the transaction process is reduced. Secondly, it can prevent the risk of manipulating the stock market and protect the interests of investors. Most of the remaining income is now in the supervision of fund companies.
At the same time, the centralized trading system of funds has also brought some negative effects. First of all, it will lead to increased market volatility. Because the centralized trading of funds will lead to a sharp rise or fall in stock prices, the market will become more tense and unstable. In addition, the limited trading space of funds may affect the operational ability of some fund managers.
Generally speaking, the centralized fund trading system has advantages and disadvantages. It can standardize the behavior of fund companies and improve the transparency of the industry and the awareness of investor protection. But at the same time, it will also have a certain impact and restriction on the market. Therefore, while promoting the centralized trading system of funds, we also need to pay attention to the corresponding risks and challenges.