Current location - Trademark Inquiry Complete Network - Tian Tian Fund - What is a leveraged fund? Give an example to illustrate how to operate. thank you
What is a leveraged fund? Give an example to illustrate how to operate. thank you
Leveraged fund is a special kind of fund, which exists in pairs (or in groups of three) at the same time, one of which is very safe and has guaranteed income; The other is very radical (this can be called a leveraged fund). If you lose money, you have to use your own money to fill the hole in another security fund (to ensure his guaranteed income), then the loss will be enlarged; On the contrary, the capital preservation fund still only takes the prescribed profits, and the rest of the profits are all piled up on this leveraged fund. Because he loses money and gains money, it will be enlarged, just like leverage, so it is called leveraged fund.

Trading in leveraged funds is the same as trading in stocks. Every fund has a code. As long as it has a stock account, it can buy and sell like a stock. Just because of leverage, its ups and downs are worse than stocks.