Exploding positions is a very sensitive word in the investment market. Many people have only heard of it, but never really seen it. This is because under the suppression of the system, there are very few cases of explosion. Let's take a look at the relevant introduction of fund explosion.

What should investors do when the fund explodes?

The short position of the fund refers to the negative equity of the account, which means that the principal is not only completely lost, but also owed. In this case, the investor can only compensate the arrears. But at present, there is no short position risk in Public Offering of Fund and most private equity funds, and only a few leveraged private equity funds have short position risk.

Many investors buy money funds through the online banking background, that is, through the third-party account set up in the bank to transfer money to the fund company. This money is guaranteed, and the money is still protected by the bank and will not explode.

In fact, normal transactions will not explode and there will be no losses. The real devil is 10 or 50 times leverage. Once the position is broken, it may be that the family is ruined. Therefore, it is really not terrible to buy a fund loss, but it is terrible to add leverage. Leverage can make you earn millions a month or lose millions.

After reading the above introduction, I believe you have a better understanding of what investors should do when funds explode. Final conclusion: when it is not enough to offset your losses, you will explode, and you will have to bear it yourself! The stock has exploded, and this situation will be forced by the brokerage firm to close the position.