1 has different meanings. ETF (Exchange Index Open-end Fund) is an open-end fund that tracks an index and can be listed on the exchange. LOF Fund is a publicly issued fund, a type of fund initiated by China, and also a Chinese ETF fund.

2. The place of purchase and redemption is different. ETF and LOF combine the characteristics of closed-end funds and open-end funds, which can be redeemed in both the primary market and the secondary market. But the place of purchase and redemption is different. The subscription and redemption of ETF can only be carried out in the exchange, that is, only on-site transactions can be carried out, and LOF can be carried out in both the exchange and the consignment outlets.

3. The targets of subscription and redemption are different. ETF adopts "physical purchase, physical redemption". Investors buy a basket of stocks and redeem a basket of stocks. LOF fund can buy a basket of stocks, but it redeems cash.

4. Different trading restrictions. ETF has a high threshold, with a minimum transaction requirement of more than 500,000 copies. Only investors with large funds can participate. LOF has no special requirements for subscription and redemption, and ordinary investors can also participate.

5. Different investment strategies. ETF funds track an index, for example, SSE 50ETF tracks SSE 50 index, which completely copies the constituent stocks of SSE 50, so it is a completely passive investment method. LOF is just an ordinary open investment behavior, which can be listed on the exchange and can be relatively simple. If you are optimistic about related open-end funds, such as an open-end fund or an open-end fund of a fund company, you can invest passively or actively.

6. The frequency of online quotation is different. In the secondary market, ETF funds provide fund quotation once every 15 seconds, while LOF is 1 time every day, that is, 1 time every day.

How to invest in ETF and LOF?

For LOF, investors can buy it like a closed-end fund, or when it is issued. Secondly, some radical investors can also do some short-term operations. Of course, this must be done with sufficient confidence in the fund's net value, because after all, LOF publishes its net value once a day.

For ETF, investors should make some choices, such as choosing products and timing. First, choose the ETF products that suit you. Second, choose the timing.