ETF linked funds and ETF funds are common investment varieties, which play an important role in the investment field. Many investors may have questions, what is the difference between these two investment products? This paper will analyze it from many angles to help readers understand the difference between ETF linked funds and ETF funds.

First of all, by definition, ETF linked funds and ETF funds are different. ETF fund, also known as exchange traded fund, is an open-end fund similar to stock trading, also known as position fund, which mainly invests in financial assets such as stocks, bonds and currencies in the securities market. ETF Linked Fund, called ETF Index Fund Linked Fund, is an open-end fund with ETF as its basic asset portfolio, aiming at obtaining a wider asset allocation by allocating different ETF funds.

Secondly, from the perspective of investment scope, ETF linked funds and ETF funds are also different. ETF funds have a wide range of investments, which can involve assets in any market, including stocks, bonds and raw materials. And ETF linked funds combined with ETF funds as basic assets are more targeted and pay more attention to allocation ratio and risk control.

Third, from the perspective of risk control, ETF linked funds and ETF funds are also slightly different. ETF funds generally invest in multiple stocks or bonds. Because of the decentralized allocation of assets, the risks are relatively controllable. However, ETF linked funds usually involve a combination of multiple ETF funds. Because of the volatility of individual ETF funds and the leverage effect of linked funds, the risk increases slightly.

Fourthly, for investment purposes, ETF is one of the standard choices for many investors to diversify risks and make long-term investments, while ETF-linked funds are more suitable for those investors who want to make short-term leveraged investments.

Finally, although there are obvious differences between ETF linked funds and ETF funds, they are also organically related and complementary in actual investment. The investment portfolio of ETF-linked funds is mainly ETF funds, but ETF funds can also be used for investment and trading as a single asset. Investors can choose their own investment products according to their risk tolerance, investment objectives and market environment.

To sum up, there are obvious differences between ETF linked funds and ETF funds, which are mainly analyzed from four dimensions: definition, investment scope, risk control and investment purpose. However, the two are also closely related and complementary, and investors need to choose according to their own conditions when choosing investment varieties.