FOF fund will surely become a hot-selling product in the future. FOF products have their own unique advantages, so they will be recognized by more and more people in the future. However, like funds, more and more people's recognition means that its value begins to distort and bubbles begin to appear. After the bubble is produced, it will inevitably burst one day. Just like stocks before 530 and current funds, investors will have a process of returning to rationality. But just like the current fund, everyone will be more rational after the adjustment, so in the long run, the development of FOF products is still very promising.

I. Suggestions for ordinary investors to invest in FOF:

FOF products must be the general trend of future development. Of course, it can't replace funds, just as funds can't directly speculate stocks instead of individual investors, but FOF products will definitely become one of the indispensable products in our financial market in the future. Investors should invest in FOF products, but of course they can't invest all their assets. There must be a reasonable investment ratio. We know that the United States, with the most developed capital market, basically invests half of its family assets in funds, but the national conditions of China and the United States are different. For example, Americans basically have no deposits, while most of us in China have bank deposits. Therefore, investors are advised to rationally allocate FOF products according to their actual family situation.

Second, the difference between FOF fund and general fund lies in:

1. Different purchase and redemption methods

The difference between FoF and fund, the financial planner pointed out: In addition to the high threshold of purchase amount, FoF has another disadvantage, that is, the opening period is not every day, but according to different brokers, some are open for one week in a quarter, some are open for one day in a week, and other times cannot be bought or sold. Funds are different. Generally speaking, as long as it is not a closed-end new fund, it can be traded every day.

2. Differences in handling fees

Compared with funds, the difference of FoF in handling fees is that as the investment product of FoF is a fund, as long as the fund has handling fees, it cannot be avoided, so the rate just mentioned is actually a second charge based on the fund handling fees. In short, investing in FOF will pay double the cost.

3. The relative advantages of 3.FOF

FoF is the first choice for novice investors and investors who have no time to manage their portfolios. The biggest difference between FoF and open-end fund is that the fund in the fund takes the fund as the investment target, while the fund takes the securities such as stocks and bonds as the investment target. It screens funds through professional institutions to help investors optimize the investment effect of funds.