1.LOF is a listed open-end fund. Different from general open-end funds, investors can purchase and redeem funds through direct selling agencies of fund companies, as well as through consignment banks and brokers, which is called over-the-counter trading; You can also trade LOF shares through the exchange just like buying and selling stocks, that is, on-site trading. Therefore, LOF funds are open-end funds and can be bought and sold like stocks. 2.ETF is the abbreviation of exchange traded fund, that is, "transactional open index securities investment fund", referred to as "transactional open index fund", also known as "exchange traded fund". ETF is a special form of open-end index fund, which combines the advantages of closed-end fund listing and trading, free subscription or redemption of open-end fund, and highly transparent investment management of index fund. It overcomes the disadvantages of closed-end funds trading at a discount, open-end funds unable to be listed and traded, heavy redemption pressure, and active investment lacking market opportunities and stock selection ability, and at the same time minimizes the transaction cost of investors. 3.QDII, the acronym of qualified domestic institutional investor, refers to an institutional arrangement that allows domestic institutions to make overseas investments in a controlled way under the condition that RMB capital is not convertible and the capital market is not open. For ordinary people, QDII (qualified domestic institutional investor) can realize overseas financial management on behalf of customers. Investors will directly hand over their RMB or US dollars to banks, insurance companies and fund companies, and let them invest in foreign capital markets on their behalf. The most important significance of QDII is to broaden the investment channels of domestic investors, so that investors can truly allocate assets on a global scale while diversifying risks and fully enjoy the fruits of the global capital market. Fund companies and QDII At present, there are dozens of institutional investors who have obtained QDII qualifications in China, including commercial banks, insurance companies and fund companies. Commercial banks have launched some RMB wealth management products and QDII products, and insurance companies also manage overseas assets through overseas investment institutions. On June 20, 2007, China Securities Regulatory Commission promulgated the Trial Measures for the Administration of Overseas Securities Investment in qualified domestic institutional investor, so that qualified fund management companies and securities companies can raise funds in China and manage overseas securities investment. Huaxia Fund and other two fund companies became the first fund companies to obtain QDII qualification, marking the beginning of overseas investment with domestic investment institutions as the main body, enabling fund companies with professional investment management experience and investment management ability to participate in global market investment, and at the same time providing investors with more choices to participate in overseas investment through QDII. Characteristics of QDII funds Fund companies carry out QDII business, mainly by directly investing in products with different risk levels in overseas securities markets. Different from the previous similar products of banks, which mainly invested in a single market or structured products, and most of them were outsourced, QDII products of fund companies have a wider investment scope, which is characterized by strong professionalism and more active investment in the global stock market. Compared with the second-generation bank QDII, which allows direct investment in overseas stock markets to reach 50%, the investment ratio of fund QDII products can theoretically reach 100%. In the process of investment management, in addition to the help of overseas investment consultants, domestic fund companies form a special investment team to participate in the whole process of overseas investment and enjoy complete active decision-making power. In addition, the QDII product threshold of the fund is low, which is suitable for a wider range of investors to participate. The subscription threshold of QDII products of most banks is tens of thousands or even hundreds of thousands of RMB, and the starting point of QDII products of funds is only 1 1,000 RMB.