Both exchange-traded funds and stocks implement T+1 trading methods, that is, buying on the same day and selling on the next trading day, but they also have certain differences, and the differences are as follows:
1. Differences in fees
Although exchange-traded funds and stocks both charge certain transaction commission fees, compared with stocks, exchange-traded funds do not charge transfer fees and stamp duties.
2. Differences in price fluctuations
On-market funds invest in many stocks, and the prices change with the changes in the stocks they invest in, that is, when the stocks they invest in rise as a whole, It rises, and conversely, it falls. The price of a single stock is only affected by its trend, and its fluctuations are relatively greater than that of on-market funds. At the same time, its risk and return are also greater than that of on-market funds.
3. Differences in the degree of market control by the main force
Individual stocks are easily controlled by market makers, but it is more difficult for market makers to control the trading of on-site funds, especially some index funds, which are passive funds. Mainly track related indexes.
Ping An Bank sells a variety of fund products on an agency basis. Different funds have different risks, returns and investment directions. You can log in to the Ping An Pocket Bank APP - Home Page - Financial Management - Fund Channel to learn more about and Buy.
Warm reminder: Fund products are issued and managed by Fund Management Co., Ltd. Ping An Bank is only an agency, and the agency does not assume the responsibility for investment, redemption and risk management of the products.
There are risks in entering the market, so investment needs to be cautious. Before making any investment, you should ensure that you fully understand the investment nature of the product and the risks involved. After understanding and carefully evaluating the product, you can make your own decision whether to participate in the transaction.
Response time: 2021-12-17. For the latest business changes, please refer to the official website of Ping An Bank.