Public offering funds refer to securities investment funds that raise funds from public investors in an open way and invest in securities. Publicly raise funds through the mass media, and promoters gather public funds to set up investment funds for securities investment. Under the strict supervision of the law, these funds have industry norms such as information disclosure, profit distribution and operation restrictions. For example, at present, the closed-end funds in the domestic securities market belong to Public Offering of Fund.
Second, private equity funds.
Private equity fund refers to an investment fund that raises funds from investors in a non-public way. The investment contents of this investment mainly include non-listed company's equity or listed company's non-publicly traded equity, and the forms mainly include leveraged buyout, venture capital, growth capital, angel investment and mezzanine financing. Private equity funds do not pursue equity gains, but sell equity through equity transfer paths such as listing, management buyouts and mergers and acquisitions.
Third, the difference between Public Offering of Fund and private equity funds.
1, different fundraising methods
Public offering funds raise funds from public investors in an open way, so in the process of issuance, they can be publicized and sold through the media, and investors can also buy funds from banks, brokers or other formal channels.
Private equity funds are only privately issued to qualified investors, and the law stipulates that funds cannot be raised through public publicity. Therefore, most of the funds that investors usually contact are Public Offering of Fund.
2. The recruitment targets and thresholds are different.
Public Offering of Fund's fundraising target is the general public, that is, ordinary people can buy it. The number of people is not limited, and the threshold is relatively low. Generally, it is 1 1,000 yuan, and some 10 yuan and 1 yuan can also be bought.
Private equity funds are aimed at a few specific qualified investors, including institutions and individuals, and investors need to have the corresponding risk identification ability and risk tolerance. Specifically, personal financial assets are required to exceed 3 million yuan, or there is proof that the income in the past three years is more than 500,000 yuan; Moreover, the investment threshold is high, generally 6.5438+0 million yuan. The larger the scale, the higher the threshold, and some even need more than 3 million yuan.
3. Different ways of information disclosure.
Public Offering of Fund is open to most investors, so the CSRC has very strict requirements on its information disclosure: there are quarterly reports, semi-annual reports and annual reports, and it is necessary to disclose the investment target, investment portfolio, net product value, position ratio, dividends, top ten awkward stocks and other information in detail, so as to make the information effective, clear and accessible.
Private equity funds have very low requirements for information disclosure and generally do not disclose positions. There are no clear requirements for investment targets, investment portfolio, investment projects, net product value, when to purchase and redeem, and specific operations, and the confidentiality is stronger.
4. Management fees are charged in different ways.
Public Offering of Fund usually doesn't charge performance compensation, but mainly charges management fees, as well as subscription fees and redemption fees arising from transactions. Moreover, because the management scale in Public Offering of Fund is usually relatively large, the management fees charged are relatively low.
Private equity funds can also charge management fees, subscription fees and redemption fees. But these are not the main sources of income. Private equity funds mainly rely on collecting performance compensation, that is, extracting a certain percentage from the profit as a commission. In this case, private equity companies must always stand on the position of investors and continue to gain benefits for them, which is also a test of the management ability of fund managers.