1, basic overview:
Securities investment fund is a kind of collective securities investment model with * * * returns and * * risks, that is, by issuing fund shares, investors' funds are compared, managed by fund custodians, managed and used by fund managers, and invested in financial instruments such as stocks and bonds.
Stock is a certificate issued by a joint-stock company to prove the shares held by shareholders, and it is the form of company shares. Investors become the owners of the issuing company by buying shares, get the expected annualized income of the business and participate in major decision-making voting according to their shareholding.
2. Risk level
The basic principle of the fund is portfolio investment, risk diversification, and investment in securities with different maturities and types in different proportions to minimize risks. Generally speaking, the risk of stocks is greater than that of funds.
3. Expected annualized expected return
The expected annualized expected return of the fund is uncertain. Generally speaking, the expected annualized expected return of funds is higher than that of bonds. The expected annualized expected return of stocks is uncertain.
4. Investment model
Securities investment fund is an indirect way of securities investment. Investors of the Fund are no longer directly involved in securities trading and bear investment risks, but are specifically responsible for the determination of investment direction and the selection of investment objects. Stock is the independent decision of investors, who directly participate in the trading of securities and bear the investment risks.
5. Investment recovery model
Investment funds vary according to the form of funds held: closed-end funds have a certain term, after which investors can share the corresponding remaining assets according to their shares. It can also be realized in the closed-end trading market; Open-end funds generally have no term, but investors can ask the fund manager for redemption at any time. Stock investment is uncertain. Unless the company goes bankrupt and liquidates, investors shall not recover their investment from the company. If they want to take it back, they can only realize it at the market price in the stock exchange market.
6. Investor status
The fund unit holder is the beneficiary of the fund, which reflects the trust relationship. Shareholders are shareholders of the company and have the right to express their opinions on major decisions of the company.