Main types and characteristics of mutual funds:
1, equity fund
Equity funds refer to funds that invest more than 60% of their assets in stocks. The investment risk of stock funds is the biggest among the fund types, and the expected return is relatively high.
2. Monetary funds
Money funds mainly invest in low-risk assets such as money markets, such as government bonds, central bank bills and deposits. The investment risk of money funds is the smallest among the types of funds, with high liquidity.
3. Hybrid funds
Hybrid fund refers to the mixed investment of various assets. Generally speaking, the investment ratio of stocks is less than 75%. According to the different proportion of its investment targets, it can also be divided into four types: partial stock type, partial debt type, stock-debt balance type and flexible allocation type. In addition to investing in stocks and bonds, hybrid funds can also invest in money funds and real industries. , involving more investment targets and higher risks.
4. Index funds
Index fund refers to the analysis of a specific index to buy stocks, buy the main stocks or all stocks of an index, so that the trend of the fund is basically consistent with the specific index, such as Shanghai Stock Exchange Index, Shenzhen Stock Exchange Index, Growth Enterprise Market Index, Small and Medium Board Index, etc.
5. Bond funds
Bond funds refer to funds that mainly invest in the bond market. More than 80% of its assets are invested in bonds, such as government bonds and corporate bonds, and the rest are basically invested in the stock market. Bond funds are divided into two types, pure debt funds and convertible bonds funds. Pure debt fund has low risk, low expected return, high risk of convertible bonds and high expected return.
6. Private equity funds
Private equity funds are mainly funds issued for specific investors, and not all investors can buy them.
7. Public offering funds
Public offering fund refers to a public offering fund, which all investors can buy.