Many people in life will ask: Is it risky to invest in bond funds? Are bond funds risky? In fact, investment is more or less risky, and any investment variety will have risks, but the risks are different.

Compared with other investment and wealth management products, is bond fund risky? Bond fund is a relatively low-risk financial product, and the investment target is bonds, so as long as bonds have risk attributes, bond funds will have them.

However, although the risk of bond funds is very low, there are still risks. What are the risks of bond funds? Bian Xiao will show you the risks of bond funds.

The risks of bond funds mainly come from the following aspects:

First, interest rate risk. If the country adopts a tight monetary policy, continuously raises interest rates and raises the deposit reserve ratio, the bond market will be restrained to a considerable extent.

Second, credit risk. Many bond fund products allocate some assets to corporate bonds. For example, corporate bonds and convertible bonds are products issued by some listed companies through enterprises. These enterprises will encounter some difficulties under the influence of macroeconomics or their own influence, and there may be the risk that they will not be able to repay their debts when due.

Third, liquidity risk. When the central bank adopts a tight monetary policy or there is capital outflow, the liquidity of the market will be temporarily tight, and the bonds held will not be cashed in the short term, and there will be certain risks.

However, under the current economic situation, the low interest rate environment created by moderately loose monetary policy reduces interest rate risk and liquidity risk; Due to the strict supervision of the domestic bond market, the requirements for bond issuers are higher. Therefore, the qualification of high-grade credit bonds is better. Through in-depth analysis and careful selection of credit debt, credit risk is controllable to some extent.

Tip for Bian Xiao: Investment does not require advanced mathematics, but only common sense and wisdom. Anyway, investment should be cautious!