1. What is a fund company?
Fund companies are financial institutions, mainly engaged in fund business. Fund refers to a securities investment tool that collects investors' funds, invests in one or several financial markets in a unified way, and is managed and operated by professional investment managers. As an institution to raise funds, manage investments and collect management fees, fund companies are an important part of fund operation.
Two. Functions of fund companies
1. Collective funds. The main function of fund companies is to pool investors' funds, make investors invest more flexibly and conveniently, lower the threshold of small investors and realize the scale of funds.
2. Investment management. According to the requirements of the fund contract, the fund company manages the raised funds through specialized research institutions, independent investment decisions and flexible investment methods, and invests in securities and money market instruments to obtain income and obtain greater income for fund investors.
3. Risk management. The investment manager of a fund company formulates an investment strategy suitable for the fund according to the risk tolerance of investors. At the same time, fund companies can evaluate, measure and control the risks of fund investment, thus reducing the risks of investors.
4. product development. Fund companies can continuously develop and launch fund products suitable for different groups of people according to market demand. For example, there are many types of fund products in the market, such as bond, stock, hybrid, money market and index, which meet the needs of different investors.
5. Marketing sales. Fund companies attract investors by lowering the threshold and improving the service quality, so as to better carry out their own business. Through professional marketing and sales strategies, we can increase the fund sales and give investors safe and reasonable income.
Third, the role of fund companies.
1. Lower the threshold. By pooling funds, fund companies lower the threshold for small investors, allow more people to invest in securities conveniently, and realize the enjoyment of resources.
2. Realize asset diversification. According to investors' needs and risk preferences, fund companies invest their investment funds in different fields, industries and securities to realize diversified allocation of personal assets and reduce personal investment risks.
3. Promote the stable development of the market. By promoting the healthy development and standardized operation of the capital market, fund companies optimize the market structure, improve market transparency and promote market stability, which is also of positive significance to economic development.
Fourth,