Different types of Public Offering of Fund products have great differences in expected returns and risk characteristics. In the process of fund sales, the principle of appropriateness should be followed, that is, products with different risk levels should be sold according to the risk tolerance of fund investors, and the appropriate products should be sold to the right fund investors.

So how to determine the risk level of fund products? According to the Measures for the Appropriate Management of Investors in Securities and Futures and the Implementation Guidelines for the Appropriate Management of Investors in Fund Raising Institutions (for Trial Implementation), on the basis of comprehensive reference to factors such as product type, investment direction and scope, liquidity, term, structural complexity and fundraising methods, the risk level of products or services can be divided into different levels (R 1 to R5) according to their risk levels, which is convenient for investors.

Taking a fund company as an example, the fund products are rated as follows: