At present, the investment direction of China's public securities investment funds is securities financial assets, which is the way for funds to make money. The main investment directions are cash, bank deposits, bonds and stocks.
1. For example, the way money funds make money is the interest income of bank deposits and the maturity date of short-term bonds.
2. There are three possible ways for bond funds to make money, namely, interest income from bond purchases, trading income from fluctuations in the bond market and losses from stock investment.
3. The main way for stock funds to make money is to invest in stocks, and get returns by rising stock prices or dividends from listed companies. Due to different investment directions, funds also have different income and risk characteristics.
1. For example, money funds mainly use investment agreement deposits and short-term bonds. There is almost no risk, but the return will not be too high;
2. Although stock funds make money through stocks, they also have this function, because stocks are high-risk and high-yield investment products. They don't guarantee to make money, and there is a great possibility of losing money.
Extended data:
Fund in a broad sense, a fund is a group of funds set up for a specific purpose. It mainly includes trust and investment funds, provident funds, insurance funds, retirement funds and various basic funds.
According to different standards, securities investment funds can be divided into different types:
(1) According to the issuance and redemption of fund units, it can be divided into open-end funds and closed-end funds. Open-end funds are not listed and traded (as the case may be). Fixed fund scale by purchasing and redeeming banks, brokers and fund companies; Closed-end funds have a fixed term and are usually listed and traded on the stock exchange. Units trade in the secondary market.
(2) According to different organizational forms, it can be divided into corporate funds and contractual funds. Funds are established by issuing fund shares and setting up investment fund companies (usually called corporate funds); It is established by fund managers, fund custodians and investors through fund contracts (usually called contractual funds). China's securities investment funds are contractual funds.
(3) According to the different investment risks and returns, it can be divided into growth funds, income funds and balanced funds.
(4) According to different investment objects, it can be divided into stock funds, bond funds, money market funds and futures funds.
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