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The difference between funds and bonds
These are two completely different financial commodities. Securities investment fund (referred to as "fund" for short) refers to a collective investment method that pools the funds of many investors to form independent property, which is managed by the fund custodian and the fund manager, and shares the benefits and risks of securities investment in the form of portfolio. Bond is a kind of valuable securities, which is a debt certificate issued by various economic entities to bond investors to raise funds and promise to pay interest regularly and repay the principal at maturity. The issuers of bonds can be governments (or government agencies), non-financial enterprises, financial institutions and international organizations.

: 1. Bonds are debt securities. Rights of bondholders against issuers on behalf of creditors. Bond funds are stock securities. The person who holds the fund represents the property that owns the fund. This is the difference between the two in the attribute of basic rights. Two, bonds are issued by the state, enterprises or companies, is used to raise funds. Bond fund is an expert financial product for fund companies to collect investors' funds, invest in various bonds and earn income for investors. This is the difference in distribution between the two. Third, the purchase of bonds held at maturity is basically to earn interest. This part of the income is tax-free. If you sell it halfway, there may be another capital gain or loss. Generally, this part of capital gains is tax-free. Buying and holding funds is usually to enjoy the income distribution of funds. Once half of it is sold, it is possible to achieve capital gains and losses. The general bond fund is usually designed not to distribute income, and all income is rolled into the principal, so bond funds generally have no income distribution. However, when selling bond funds, all capital gains are not taxed; No capital loss may be deducted when filing tax returns. In other words, this is duty-free goods. Therefore, the purchase of bond funds is largely regarded as a financial management behavior in tax planning, rather than a venture investment behavior, and there are differences between them from the perspective of trading and investment and financial management.