also called trust fund investment fund, is a kind of “ sharing of benefits and risks of ” collective investment refers to the contract or the company form, with the help of issuing fund bonds (such as income certificate, fund and fund shares) way, most investors social uncertainty matching funds together, formed a certain scale of trust assets, by specialized investment institutions according to the principle of portfolio diversification and the gains obtained by investors share according to the proportion of capital contribution, a collective investment trust system and risk.
Characteristics of trust fund:
1 set investment
2 expert management, expert operation
3 portfolio investment and risk diversification
4 asset management and asset custody phase separation
5 share the benefits and risks
6 with pure investment for the purpose of
7 strong liquidity