Generally speaking, although the fund may lose money, the possibility of not losing money is still relatively small, but it does not mean that it is completely impossible, depending on what fund it is.
First, from Public Offering of Fund's point of view. There are money funds, bond funds, hybrid funds and stock funds in Public Offering of Fund. Except for the money fund, other funds may lose money. However, although most of Public Offering of Fund may lose money, there is basically no loss.
On the one hand, it is because public funds invest money in many securities such as bonds or stocks. Whether it is a stock fund or a bond fund, it is stipulated that the amount of securities held shall not exceed a certain proportion of the fund's net value. For example, a stock fund can't exceed 65,438+00%, so Public Offering of Fund should invest separately.
Therefore, for bond funds, even if many bonds default, the money will not be recovered. As long as others can be recovered, they will not be completely lost. As for all bonds, the possibility is too small, almost equal to zero.
What stock funds fear most is to buy delisted stocks. The probability of delisting is very small, and all the stocks that cannot be bought are delisted at one time. Moreover, even if the stock is delisted, it is not worthless, because it can also enter OTC or re-list. Of course, the premise is that it will not go bankrupt.
On the other hand, Public Offering of Fund has a self-protection mechanism, or a stop-loss mechanism, which will not run out of money. Public Offering of Fund's net worth for 60 consecutive days is less than 50 million, or the number of fund holders is less than 200, which must be liquidated. So even if a fund has lost money to the point of liquidation, it will eventually leave some assets more or less.
In this way, if you buy a Public Offering of Fund, even if you will lose money, you will basically not lose a penny.
Secondly, look at private equity funds. There are far more managers of private equity funds in China than in Public Offering of Fund. Although China has allowed the existence of private equity funds, the supervision of private equity funds is far lower than that of Public Offering of Fund.
For private equity funds, as long as the fund manager invests properly, it is unlikely to lose all his money. However, buying a private equity fund is not completely impossible to lose money. There are at least two situations that may make money lose a penny.
One case is to add leverage. The so-called leverage is to borrow money to invest, such as finding a fund-raising company to fund. This money is different from the money raised by the fund. The money raised by the fund does not need to be repaid even if it is lost, but the borrowed money needs to be repaid.
For fund-raising companies, what they earn is only the interest of borrowing money. No matter whether private equity funds lose money or make money, they will definitely make money. In order to ensure that private equity funds can recover their principal and interest after losses, the fund-raising company may require that the money lent to private equity can only be used as a deposit, and there can be no losses. The loss can only be the private equity fund's own money. Once the private equity fund loses all its money, it will be forced to close its position to ensure that its money is not lost.
Therefore, when private equity funds are leveraged, their own funds, that is, funds raised from investors, may be lost.
Another situation is that private equity funds lose contact and run away. There are a large number of managers of private equity funds in China, and the entry threshold is low, so the strength is mixed and the supervision of private equity funds is not very strict, which leads to the loss of private equity funds from time to time.
Of course, although the loss of private equity funds is not necessarily a run, at least it cannot be ruled out. If private equity funds really run away, it is difficult to get back the money invested, which is equivalent to a loss.