Advantages of on-site monetary fund:
1, the operation is simple. No matter whether you buy/sell the floor stock base or buy/redeem the floor stock base, you can place an order directly in the securities trading software, and the operation is very simple.
2. The risk is very small. Some short-term securities are invested in the money market, and domestic money funds are prohibited from investing in stocks, convertible bonds and corporate bonds below AAA level according to regulations, so the risk is very small. According to statistics, the probability of a single-day money market fund's principal loss is about 0.06 1% (but I think this probability may be less than the actual value). If it is held for a week or a month, the probability of principal loss is close to zero.
3. Good liquidity. On the one hand, the trading volume of the on-site cargo base is large; on the other hand, the on-site cargo base that can be traded supports T+0 operation and can be bought and sold on the same day.
4. The transaction cost is low, and many brokers set the transaction cost of the on-site cargo base to 0.
5. The rate of return is relatively high. The annualized rate of return of the on-site cargo base is generally higher than the bank's one-year time deposit interest rate. If some spreads or arbitrage operations are done, the annualized rate of return can be higher.
Disadvantages of the on-site money fund:
Yield: In the long run, the yield is not as good as that of OTC money funds.
Commission: Money funds in the market may have commission. Of course, there are also unacceptable, but we must negotiate with the broker. There is no off-site handling fee.
Investment threshold: the threshold of the goods base on the floor is 1 1,000 yuan, and the words off the floor are very casual. Many tens and ones will do.