1. From the investment target point of view, ETF linked funds take the corresponding target ETF as the investment target, so the income and risk characteristics also come from the target ETF. However, FOF usually bundles multiple funds together, which is equivalent to investing in multiple funds at the same time. In order to avoid risks, in addition to stock funds, a certain number of money or bond funds are usually allocated, with low returns and risks.

2.ETF linked funds and FOF also have different regulations on management fees. According to the regulations of the CSRC, in order to avoid repeated charges, fund managers and custodians may not accrue management fees and custody fees for investment target ETFs in ETF-linked fund assets; FOF, on the other hand, implements the second charge on the basis of the fund handling fee.

3. The subscription thresholds of 3.ETF and FOF are completely different. Because FOF is issued by financial institutions other than fund companies, the starting point of its subscription amount is basically above 1 10,000 yuan, while ETF-linked funds are independent funds issued by fund companies themselves, and the lower limit of subscription is basically 1 10,000 shares. In addition, FOF has different opening periods, including one quarter, one week and one week, and cannot be purchased and redeemed at other times; ETF-linked funds, like general open index funds, can be traded on trading days.

4. Linked funds are still open index funds, and their investment objective is to fit the market index returns. It is a passive investment product, which is not much different from the index funds seen in the current market. It is also subscribed, purchased and redeemed through banks and other channels. But after all, this product is an innovative product, and its innovation lies in the realization of index income by allocating assets on the designated ETF. This form may further reduce the transaction cost, so as to obtain the market index income quickly and effectively, and at the same time, it also provides investors with diversified investment options and meets the needs of investors to invest indirectly in ETF market.