Bond fund. How to choose three forms of time deposit?
Expected annualized expected return
The expected annualized rate of return of treasury bonds and time deposits is fixed, and the issued certificate-based treasury bonds, three-year expected annualized interest rates and five-year expected annualized interest rates are also very ideal conservative investment products, and there is no risk in the principal. In contrast, the expected annualized expected rate of return of time deposits is relatively low, and interest tax of 5% is required.
The expected annualized expected return of bond funds is floating, not fixed. The mainstream bond fund products are mostly 80% pure debt plus 20% stock investment or other market investments. The pure debt part is a relatively stable expected annualized expected return, while other investments are floating, which is the main source to enhance the expected annualized expected return. It should be said that it is a combination of stability and strength.
Purchase threshold
Compared with the difficulty of subscription, bond funds will have a closed period when they are first established, and they can be redeemed at any time after the closed period, and there is no upper limit on the subscription amount, so it is easier to subscribe; National debt can only be purchased during the issuance period, and it may not be available because of the issuance quota, so it is relatively difficult to buy; Time deposits can be purchased at any time, and there is no limit on the amount, which is the easiest to buy.
Risk tolerance
Fund managers of bond funds can flexibly adjust the portfolio duration, exchange the average duration for the average expected annualized expected return, and obtain the average expected annualized expected return without locking in the longer holding period, thus trying their best to resolve the expected annualized interest rate risk; However, treasury bonds and time deposits have to bear a certain expected annualized interest rate risk. In order to obtain high expected annualized expected returns, they must hold a longer term. The longer the term, the higher the expected annualized interest rate risk.
flexibility
Bond funds can be redeemed at any time after a first-line closed time, and it is easy to withdraw money when it is needed; If you pay the national debt in advance, you will have to pay the handling fee, and it is expected that there will be a loss in the annualized interest rate; If the time deposit is withdrawn in advance, there will also be expected annualized interest rate loss.