First, the capital preservation of the capital preservation fund has an investment period. Capital preservation funds usually have a hedging period, that is, the guaranteed period, which refers to the time limit for fund managers to provide hedging. For example, the recently issued Dongfang Anxin Income Capital Protection Fund has a hedging period of three years. It is particularly important to note that if the fund share holder subscribes during the subscription period, but redeems or converts the fund share before the expiration of the fund hedging period, and purchases the fund share after the subscription period, the hedging clause is not applicable, that is, the capital preservation fund does not provide the principal guarantee for the latter two situations. Due to the limitation of investment period, investors who redeem in advance can not only guarantee the principal, but also pay the redemption fee.

Second, the capital preservation of the capital preservation fund is only for the principal, and it does not guarantee a certain income of the fund, nor does it guarantee the minimum income. Only promise to protect the capital on the expiration date of the capital preservation period. Therefore, there is the possibility that the fund shares purchased by investors can only recover the principal before the maturity date of capital preservation, or they may be redeemed before the maturity date of capital preservation and suffer losses.

Third, the guaranteed capital preservation ratio of capital preservation funds is also different. According to the risk degree of each fund, the capital preservation ratio can be lower than the principal, such as 90% of the principal, or equal to or higher than the principal. There are also some capital preservation funds with a capital preservation amount higher than the principal, such as the recently issued Oriental Peace of Mind Income Capital Preservation Fund, which is the sum of the subscription period interest and subscription fee.

Fourth, some capital preservation funds have a regular redemption mechanism. For example, some capital preservation funds are redeemed every Monday, unlike ordinary open-end funds, which can be redeemed on trading days. Finally, investors need to pay attention to the difference in risk-return characteristics of funds caused by the difference in asset allocation ratio in different capital preservation funds.