1. What is a QDII fund?
The Chinese full name of QDII is: an investment fund engaged in stocks, bonds and other businesses in overseas securities markets.
2. Investment risk of 2.QDII
(1) Risk of fund operation management
This is the same risk as all other funds. In the process of operation and management, the expected return of fund investment ultimately depends on the expected return of fund operation and management. The quality of management, including the operation team and the strength of investment and research, plays a decisive role in the expected return of fund investment. So try to choose a fund company with large scale and good historical performance.
(2) Exchange rate risk
The subscription of the fund needs to be converted from RMB into corresponding foreign currency. In addition to investment performance, the influence of exchange rate is also an important factor that cannot be ignored. If the RMB depreciates during the holding period, more RMB can be exchanged for the same expected income in the future. If the RMB appreciates, the RMB will be reduced under the same expected income in the future.
(3) Legal and regulatory risks
QDII funds invest in the international market. In the process of investment, they are regulated by policies and laws of different countries, which is obviously different from domestic funds.
For QDII funds, the biggest difference between QDII funds and ordinary funds lies in the different investment markets, and what needs to be focused on is its exchange rate risk and legal and regulatory risks. Tips: Financial management is risky, and investment needs to be cautious.