Funds can be divided into broad and narrow senses. In a broad sense, funds are a collective term for institutional investors, including trust investment funds, unit trust funds, provident funds, insurance funds, retirement funds, and funds of various foundations.

Funds in the existing securities market, including closed-end funds and open-end funds, have the characteristics of income-generating functions and value-added potential.

From an accounting perspective, funds are a narrow concept, meaning funds with specific purposes and uses.

Funds are formed because investors from governments and public institutions do not require investment returns or investment recovery, but require funds to be used for designated purposes in accordance with legal provisions or the investor's wishes.

The funds we are talking about now usually refer to securities investment funds.

Securities investment funds are an indirect form of securities investment.

Fund management companies pool investors' funds through the issuance of fund units, which are custodian by the fund custodian (i.e. a qualified bank). The fund manager manages and uses the funds to invest in stocks, bonds and other financial instruments, and then assumes the responsibility

Investment risks and profit sharing Foreign exchange refers to various payment methods expressed in foreign currencies that are generally accepted by various countries and can be used for international settlement of claims and debts.

It must have three characteristics: payability (an asset that must be expressed in foreign currency), availability (it must be a claim that can be compensated abroad) and fungibility (it must be a foreign currency that can be freely converted into other means of payment)

assets).

To put it simply, for us Chinese, except for the RMB, Hong Kong dollar and Taiwan dollar, the money of other countries is foreign exchange. Buying and selling are also easy to understand. Just like when you buy something in the market, you buy it.

Come in.

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When you sell something, you sell it.

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The same applies to buying and selling in the capital market. For example, if you subscribe for a fund, it is called buying.

Redeeming a fund is called selling.

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When you buy a stock, it is called buying, and when you sell a stock, it is called selling.

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