Can the fund return to its original value after falling by 50%?
It is possible to recover the capital if the fund falls by 50%, but it is more difficult to recover the capital, because after the fund falls by 50%, it needs to more than double the capital of the fund. If investors increase their positions, the fund will continue to fall and lose more.
When buying a fund, it is very important to stop loss in time. When the fund loses money to a certain extent, it can set a loss point. When the fund loses money to this extent, it is necessary to redeem the remaining funds in time to avoid more losses and wait for the right fund to enter the market.
How much did the fund recover when it fell by 50%?
Only when the fund falls by 50% and rises by 100% can the fund be recovered. The calculation formula for the increase of capital return rate is: the increase interval of capital return rate =1(1-loss interval)-1. Let's give a simple example: suppose an investor buys a pharmaceutical fund, but because the fund market is not very good, the fund keeps falling, and the investor just bought it at a high point, so there is a 50% loss. Return on capital =1(1-50%)-1= 100%, so the Fund needs to increase100% to recover its capital.