Yes, the fund is not a guaranteed product and may lose money. The loss of principal needs to be borne by investors themselves. The rise and fall of the fund is determined by the investment target of the fund. If the investment target goes up, the fund goes up, and the investor gains, while the investment target goes down and the fund goes down, the investor will suffer losses.

Like other wealth management products, funds may lose money, that is, they may lose money. Fund, in English, refers to a certain amount of funds set up for a certain purpose. It mainly includes trust and investment funds, provident funds, insurance funds, retirement funds and funds of various foundations.

Historically, the probability of a fund making money by long-term investment is relatively high, because the fund mainly invests in stocks, and it takes a long time for bulls and bears to switch in the stock market, so the probability of a fund holding income for a long time is even greater.

The name of the fund basically covers the general situation of the fund. For example, if the name of the fund contains the words mixed or stock, the fund is likely to be a mixed fund stock fund. The risk coefficient of such funds is relatively high.

Generally, those with the words "SSE 50" and "CSI 300" belong to index funds, and the risk coefficient is relatively low. Some fund names include "stability", "appreciation" and "absolute return". Generally, such funds have low risk coefficient and low volatility.

To understand the real risk of a fund, we can look at the position of the fund. The risk of the fund is mainly judged by the proportion of shares held by the fund. If 70% of a fund's asset allocation is stocks, then this is a hybrid fund. If you are a risk-averse investor, you should avoid it. If the stock holding ratio of the fund reaches more than 90%, the risk coefficient will be high.

If the fund's bond position is relatively high, or almost all of it invests in bonds, then this fund is a bond fund or a partial debt fund, and the fluctuation will not be particularly large, as long as it is not a particularly conservative investor, it can be considered. There is also a special situation here, that is, the holding ratio of some assets reaches 120% or exceeds 100%. It may be a leveraged fund, that is, the fund invests in external financing, and the addition of leverage will improve the volatility of the fund.