What is QDII fund?
QDII funds refer to overseas funds. Domestic institutions invest in stocks and some related financial products abroad, and institutions buy overseas targets and then issue funds in combination. If an investor holds this fund, it is equivalent to holding overseas assets. QDII mainly invests in overseas stock markets, bonds, property markets and commodities.
What are the characteristics of QDII funds?
1, with wide investment scope.
QDII funds can invest in global financial instruments such as stocks, bonds and futures.
2. The risk is dispersed.
Because it involves investment in overseas markets, you can invest in many countries and regions around the world, which is equivalent to diversifying investment and investment risks.
3, easy to buy
QDII funds not only have many types of transactions, but also are easy to operate. When investing, they can trade directly without opening an overseas account.
4. The handling fee is high.
Because QDII invests in overseas markets and needs cross-market management, it charges higher management fees and custody fees.
What's the difference between QDII fund and ordinary fund?
1, investment scope
QDII funds invest in bonds, stocks, etc. In overseas markets, there are extensive investments. Ordinary funds invest the raised funds in domestic bonds or stocks.
2. Investment risk
QDII funds are more risky than ordinary funds. QDII funds need to deal with risks such as market risk and fund management risk, as well as exchange rate risk and overseas market fluctuation risk. The risks that domestic general funds need to deal with include management risks and market risks.
3. Transaction costs
QDII funds have high transaction costs. Because QDII funds invest in overseas markets and need cross-market management, their management fees, subscription fees and custody fees will be relatively high, and the redemption fees will depend on the holding time.
4. Duration of the transaction
QDII funds take a long time to invest. QDII subscription and redemption require foreign currency exchange. Generally, after the T-day subscription is calculated according to the net value of the fund on that day, the fund manager will exchange money first, so the share will be confirmed on T+2, and the fund redemption will generally arrive in about 4-7 trading days. The redemption time of general funds is about 2-3 trading days, and it will arrive at the account as soon as possible. Buy before 3 o'clock on T day, and confirm the share on T+ 1 day.