Yes, funds are not capital preservation products. If the losses are borne by the investors themselves, the loss principal of the fund will be less. On the contrary, if the fund goes up, the principal will increase. When the investment target goes up, the fund goes up, and when the investment target goes down, the fund goes down.
Funds can be divided into money funds, bond funds, hybrid funds, stock funds, index funds, ETF funds and so on according to investment targets.