What does QDII fund mean?

QDII (Qualified Domestic Institutional Investor) fund is a type of investment fund in finance that allows domestic investors in China to invest in overseas financial markets. These funds are regulated by the China Securities Regulatory Commission and are designed to provide Chinese investors with access to a diversified portfolio of assets outside of China. QDII funds are typically managed by licensed asset management companies and can invest in a variety of assets, including stocks, bonds, and other securities in global markets. The introduction of QDII funds in China has been a significant development in the country's financial market, as it has allowed domestic investors to diversify their investment portfolios and access opportunities in international markets. This has also provided Chinese investors with exposure to different currencies and asset classes, which can help to mitigate risks associated with domestic market fluctuations. QDII funds are subject to certain regulations and restrictions, including investment limits and risk management requirements, to ensure the stability and security of the funds. Additionally, the performance of QDII funds is closely monitored by regulatory authorities to protect investors and maintain the integrity of the financial system. Overall, QDII funds play an important role in the global investment landscape by providing Chinese investors with the opportunity to participate in international markets and access a broader range of investment options.