Graded fund refers to a fund variety with two levels (or multi-levels) of risk-return performance with certain differentiated fund shares through the decomposition of fund income or net assets under a portfolio. Its main feature is to divide the fund products into two types of shares and give different income distribution respectively. Judging from the classified funds that have been established and are being issued at present, they are usually divided into low-risk income end (priority share) and high-risk income end (aggressive share). Take a graded fund product X(X is called parent fund) as an example, which is divided into A share (priority) and B share (aggressive). Share A agrees on a certain rate of return, and the remaining assets of fund X after deducting the principal and accrued income of share A are all classified as share B, and the losses are borne by the holders of share B within the limit of share B's net asset value. When the overall net value of X falls, the net value of B shares falls first; Correspondingly, when the overall net value of X rises, the net value of share B will also rise before share A. That is to say, the priority share can generally get the distribution benchmark income first, and the enterprising share can maximize the compensation for the principal and benchmark income of the priority share, and the enterprising share usually participates in the distribution of residual income or bears losses to a greater extent to gain certain leverage.