1 Public offering fund: A public offering fund is a securities investment fund that is supervised by the competent government department and publicly issues beneficiary certificates to unspecified investors. 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.

2. Private equity funds refer to funds raised by private individuals or directly from specific groups.

The difference between Public Offering of Fund and private equity funds;

(1), put forward different objects. The target of public offering funds is the general public, that is, investors who are not specific to society. The target of private equity fund is a few specific investors, including institutions and individuals.

(2) Different financing methods. Public Offering of Fund raises funds through public offering, while private equity funds raise funds through non-public offering, which is the main difference between private equity funds and Public Offering of Fund.

③ Different information disclosure requirements. Public Offering of Fund has very strict requirements on information disclosure, such as its investment objectives and portfolio. Private equity funds have low requirements for information disclosure and strong confidentiality.

④ Different investment restrictions. Public Offering of Fund has strict restrictions on the types of investment, the proportion of investment and the matching between investment and fund types, while the investment restrictions of private equity funds are completely stipulated in the agreement.

⑤ Different performance rewards. Public Offering of Fund does not extract performance compensation, but only collects management fees. Private equity funds, on the other hand, charge performance compensation, and generally do not charge management fees (note: some funds charge management fees). For Public Offering of Fund, performance is only the honor when ranking, while for private equity funds, performance is the basis of remuneration.

6. Different investment objectives. Public Offering of Fund's investment goal is to surpass the performance comparison benchmark and pursue the ranking in the same industry. The goal of private equity fund is to pursue absolute return and excess return. But at the same time, private investors have to take higher risks.

⑦ In addition, Public Offering of Fund has strict procedures and strict policy restrictions on investment, including restrictions on shareholding ratio and investment ratio. When investing in Public Offering of Fund, the operation of public offering is strictly regulated because it involves the interests of investors. In addition to not manipulating the market in violation of the provisions of the Securities Law, the investment behavior of private equity funds is flexible in terms of investment methods, shareholding ratio and positions.

The biggest difference between private placement and public offering is incentive mechanism, profit model, supervision and scale.

Specific investment methods, especially stock selection criteria, are not different under the same style.