Graded funds, also known as "structured funds", refer to the types of funds that show two-level (or multi-level) risk-return performance with a certain differentiated fund share by decomposing the fund income or net assets under a portfolio. Its main feature is to divide the fund products into two or more types of shares and give different income distribution respectively. The sum of the products of the net value of each sub-fund of the graded fund and the share ratio is equal to the net value of the parent fund.

According to the nature of graded sub-funds, class A shares in sub-funds can be divided into class A agreed income share funds with a time limit and class A agreed income share funds with a perpetual period. Class B shares in sub-funds are also called leveraged funds. Leveraged funds can be divided into stock-type B leveraged share funds (mostly leveraged index funds), bond-type B leveraged share funds (leveraged debt base) and reverse leveraged funds.