What are the risks of investing in funds?

Credit risk: including the credit risk of the bonds, notes and other instruments invested, as well as the counterparty risk of transaction-based investments, such as repurchase agreements. Market Price Exposure Risk:

Market exposure risk refers to the risk of deviation between the net value of the net value and the transaction (usually the face value) based on the actual market value of the money market, that is, the valuation based on the market method. Policy risk: due to changes in national macro policies such as fiscal policy, monetary policy, industrial policy, and regional development policy, resulting in market volatility and affecting returns.

Economic cycle risk: With the cyclical changes in economic operation, the return level of the market also changes cyclically, and the return level of investment will also change, resulting in risks. Interest Rate Risk:

Fluctuations in interest rates in financial markets can lead to changes in the market and yields. Interest rates directly affect the bond yield and affect the financing costs and profits of enterprises. Invest in bonds and your yield level may be affected by changes in interest rates.

Operational risk of listed companies: The operating conditions of listed companies are affected by a variety of factors[2], such as management capabilities, industry competition, market prospects, technological updates, financial status, and new product research and development, which will lead to changes in the company's profitability. If the listed company in which the company invests is not operating well, it may be able to reduce the profits that can be used for distribution, so that the investment income will decline.

Listed companies can also undergo changes that are difficult to foresee. While this unsystematic risk can be diversified through investment diversification, it cannot be avoided entirely. <>

Inflation risk: The purpose of investment is to maintain and increase the value of assets, and in the event of inflation, the income obtained from investing in assets may be offset by inflation, thus affecting the preservation and appreciation of assets. Risk of bond yield curve movements:

Bond yield curve movement risk refers to the risk associated with a non-parallel movement of the yield curve, and a single duration indicator does not adequately reflect the existence of this risk. Reinvestment risk: Falling market interest rates will affect the reinvestment yield of fixed income** interest income, which is mutually eliminating the risk of rising interest rates.

Credit risk: In the course of the transaction, there may be a default in settlement or the issuer of the invested bond defaults, refusal to pay the principal and interest due, etc., resulting in asset loss. <>

Operational and technical risks: In the course of the operation of each business link, the relevant parties may cause risks due to operational errors or violations of operating procedures caused by inadequate internal controls or human factors, such as ultra vires trading, insider trading, trading errors and fraud. In addition, in the open-ended back-end operation, the normal operation of the transaction may be affected by the failure or error of the technical system, and even the interests of the share holders may be affected.

This technical risk may come from the manager, custodian, registrant, sales agency, exchange and registration and clearing institution, etc. Compliance risk: refers to the risk of violating national laws, regulations or relevant provisions of contracts in the process of management or operation.

The risk of investing** depends entirely on your investment strategy, and there is no set answer.

If you are just a novice investor, I recommend that you give priority to investing in index** or currency**, which we usually refer to as "Yue Bao". For novices, the most important thing for newcomers to do is to understand investment knowledge, optimize their investment strategies in the process of learning knowledge, and do not rush forward.

First, the highest degree of risk is **type**.

The product with the highest degree of risk is the type, and all positions in this type of product are **. Because of this, the fluctuation of ** will directly affect the fluctuation of **. The volatility of such products is generally around 40%, and some are even higher.

For novices, I strongly do not recommend novices to enter the **type** directly, and do not be blinded by the huge returns of **type**, because your investment cognition simply cannot withstand the relevant fluctuations. <>

Second, the higher degree of risk is the hybrid type**.

Hybrid requires a certain proportion of positions in the product, and it also tests the manager's ability to actively select stocks. We can understand ** investment as:Leave professional things to professional people

Managers are very professional people, if you really don't know how to choose, you can choose to invest in the top products. <>

3. The lower risk levels are index**, currency** and bond**.

I focus on recommending the index type, which is relatively passive compared to the above two products, and is used to track the industry or index. If you want to exercise your self-directed investing skills, Index** is a good choice. If you have a high degree of investment risk aversion, you can also choose currency ** and bond **, although the investment return of these two types of ** products is not so high, but the drawdown rate is also very low, which is very suitable for investors with a stable style.

I think there is a certain amount of risk in investing, but the risk is not particularly large. After all, the risk will be greater, although there will be a certain risk, but the loss is relatively small, and the risk will not be as high as **.

The risk of investing in ** must be very large, so when we usually choose to invest, we must consider what kind of investment **, and secondly, we also need to make an investment according to our actual economic situation.

For those who want to invest, the risk of investing is actually relatively large, but it depends on what kind of investment it is compared with. Compared with **, it is relatively stable.

The risk is relatively small, and then it is not particularly large compared with **, and it is very suitable for novice operations, and there is no need to understand financial knowledge.

1. Credit risk, policy risk, interest rate risk, operating risk of listed companies lacking wax and withering, inflation risk, risk of bond yield curve change, reinvestment risk, credit risk, management risk, liquidity risk, operational and technical risk, compliance risk.

2. Other risks: (1) Risks arising from imperfections in system construction, staffing, risk management and internal control system due to the rapid development of the business; (2) Risks that may arise due to financial market crises and industry competitive pressures;

3. The occurrence of force majeure factors such as wars and natural disasters may seriously affect the operation of the market and lead to the loss of assets; Other unforeseen risks. Local buried.

1. Liquidity risk.

There is a liquidity risk in any kind of investment instrument, that is, the difficulty of realizing the liquidity faced by investors when they need to sell and the risk of not being able to turn into a cash on the appropriate level. For example, under normal circumstances, open-ended investors do not have the liquidity risk of not being able to find a buyer at the appropriate price, but when facing the extreme situation of a large redemption or suspension of redemption, the investor may bear the risk of not being able to redeem or redeeming at a low price due to net worth. This is the open-ended** liquidity risk.

2. Investment risk.

The degree of risk of investment itself varies depending on the investment direction determined and the objectives pursued. If there is a **investment and sales capital**, it mainly invests in small companies with strong growth potential.

**, the degree of risk is higher; If there is a **investment** mainly invested in the stable performance ** or the bond market, its income is relatively stable, and the risk is relatively small. When making investment, investors should carefully read the prospectus, have a clear understanding of the nature of investment, the direction of capital investment and the goals pursued, and have a basic judgment on the risk of the investment portfolio.

3. Institutional management risk.

Since the establishment and operation of the company involves different institutions, such as custodians, accounting firms, managers, etc., there are risks in the management and operation of the institutions.

4. Various risks in the market.

Changes in domestic and international political and economic policies will cause market fluctuations, and these risks directly affect the market, which also affects the income and efficiency.

5. Different types of different risks.

For open-ended**, there is an unknown risk of subscription and redemption**. When investors subscribe and redeem ** units on the same day, the net asset value of the units referred to is the data of the previous ** trading day. Investors cannot predict the changes in the net asset value of ** units from the previous trading day to the trading day, so investors cannot know what ** will be traded when subscribing and redeeming.

This kind of risk is the unknown risk of open-ended subscription and redemption. There is a risk of expiration in the closed-end type, and it should be noted that the closed-end type will be liquidated when it expires. The liquidation price is the net asset value at maturity, and the P/E ratio has no meaning to it.