When we buy a fund, there are many places that need to be analyzed, such as the advantages and risks of the fund, which we can't ignore. Only by understanding these can you choose the fund that suits you best. How about a fixed investment bond fund? What are the advantages of fixed investment bond funds?

As an innovative closed-end debt base, regular open-end debt base has the advantages of both open-end funds and closed-end funds, and adopts a combination of closed-end operation and regular open-end debt base. It has a fixed opening period and cannot be bought or sold on any trading day. The establishment of bond funds can stabilize the fund scale and improve the fund income. Let's take a look at the advantages of the fixed debt fund.

First of all, liquidity has little impact.

Due to the closed operation, the liquidity impact caused by frequent purchase and redemption can be reduced, and the fund scale is relatively stable. It is also conducive to improving the stability of the fund portfolio and the consistency of investment strategies, so that fund managers have more room to actively play in timing, securities selection and duration strategies, and can carefully select and gradually allocate safer and higher-yielding securities to ensure the stability of investment returns.

Second, the leverage space is large.

The maximum leverage ratio of fixed debt base can reach 200%, which is much higher than the leverage ratio of ordinary open debt base 140%, which is also the main reason for the large leverage space of fixed debt base. Investors can get more extra interest spread income, and of course the corresponding risks will increase. Moreover, because there is no need to face the problem of frequent redemption, fixed investment bond funds can try to reduce the cash ratio in their investment, use leverage more efficiently, and amplify the bond portfolio income with strong certainty.

Third, income is more stable.

Investors must want to know the advantages of fixed investment bond funds. Closed-term fixed bond funds, so that the bull market does not have a lot of money to enter the diluted income level, the bear market does not have a lot of money to redeem. Generally speaking, the income is relatively stable. The main feature of regularly opening the debt base is to exchange time for space and sacrifice some liquidity for more stable positive returns.