Duration refers to the discounted weighted maturity time of bonds. It comprehensively considers the influence of maturity, bond cash flow and market interest rate on bond prices, and can be used to reflect the influence of small changes in interest rates on bond prices, which is a good measure of bond interest rate risk.

The duration of a bond fund is equal to the weighted average of the investment ratio of each bond in the fund portfolio and the duration of the corresponding bond.

The longer the bond fund lasts, the greater its net worth and the higher its interest rate risk.

Duration is more used to measure the sensitivity of bond price changes to interest rate changes, and has been revised to accurately quantify the impact of interest rate changes on bond prices.