1, fund collection: combining a small amount of investors' funds to form a large amount of funds for allocation and investment.

2. Professional management: Fund management agencies have a large number of professional research teams and strong information advantages, and can conduct in-depth analysis and professional research.

3. Risk * * * bear, income * * * enjoy: after deducting general expenses, the rest of the fund investment income is distributed according to the fund shares held by investors, and the risks arising from investment are also borne by investors.

4. Independent custody and strict supervision: In order to ensure the safety of fund assets, the fund custodian keeps them, and the fund manager independently conducts investment operations, which restricts and supervises each other, effectively protecting the security of the fund and the rights and interests of investors.

I. Common types of funds

1. Equity fund: The so-called equity fund refers to a fund in which more than 60% of the fund assets are invested in stocks.

2. Hybrid funds: Hybrid funds refer to funds that invest in stocks and bonds at the same time. According to the different investment ratios and investment strategies of stocks and bonds, hybrid funds can be divided into many types, such as partial stock funds, partial debt funds and allocation funds. Hybrid fund means that the funds of this fund are not all used for stocks, generally 60% are hybrid, and the remaining 40% are bonds ... The risk of hybrid funds is lower than that of stock funds.

3. Money funds refer to funds that only invest in money market instruments. The assets of the Fund are mainly invested in short-term monetary instruments, such as treasury bills, commercial paper, bank time deposit certificates, government short-term bonds, corporate bonds, interbank deposits and other short-term securities.

4. Bond fund: refers to a fund in which more than 80% of the fund assets are invested in bonds. In China, the main investment targets are government bonds, financial bonds and corporate bonds.

5.ETF fund: also known as transactional open-end index fund, ETF is an open-end securities investment fund product listed and traded on the exchange, and the trading procedures are exactly the same as those of stocks. The assets managed by ETF are stock portfolios. The types of stocks in this portfolio are the same as those in a specific index, such as the SSE 50 Index, and the number of each stock is consistent with the proportion of the constituent stocks of this index. The trading price of ETF depends on the value of its stock portfolio.