Hello, the capital preservation fund refers to a securities investment fund that uses portfolio insurance technology to ensure that investors can get at least the investment principal or a certain return when the investment expires. Its investment goal is to lock in downside risks and strive for potentially high returns.

It has three characteristics, namely, principal guarantee, semi-closure and value-added potential.

1, principal guarantee

The core feature of the capital preservation fund is that investors can at least get the investment principal and a certain return when the fund expires. Therefore, investors can invest in capital preservation funds without damaging the principal.

2. Semi-closed

The capital preservation fund stipulates a capital preservation period, and the fund holder can only get the guarantee of capital preservation if he holds the capital preservation fund until it expires. Redeem in advance, do not enjoy preferential treatment.

3. Value-added potential

The capital preservation fund shares the benefits of the securities market by investing in stocks or various financial derivatives while ensuring the safety of investors' principal. Compared with bank deposits or treasury bonds, capital preservation funds have higher appreciation potential, and have higher expected returns while ensuring the principal return.