Passive funds (usually index funds) generally choose specific index stocks as investment targets, trying to replicate the performance of the index, rather than actively seeking to surpass the market. The corresponding active funds are classified according to the different investment concepts of stock funds: general active funds aim at pursuing performance beyond the market.

Allocated funds refer to funds with flexible asset allocation that invest in stocks, bonds, money market instruments, commodities and alternative investments (such as unlisted equity and non-standardized creditor's rights) to obtain high investment returns. Its main feature is that the fund can significantly change the asset allocation ratio according to market conditions, and the investment ratio of any kind of securities or assets can be as high as 65,438+000%.

Allocated funds invest in both stocks and bonds, and their risk-return characteristics are different from those of high-risk and high-return stock funds and low-risk and low-return bond funds. The main feature of the fund is that it can change the asset allocation ratio more flexibly according to the market situation, realize the investment strategy of advance, attack and retreat, and the proportion of investment in any kind of securities can be as high as 100%.

Most of the newly established funds in China are allocation funds. As of August 20, 2004, the allocated fund family had 565,438+0 members. Among these allocation funds, there are two obvious differences in asset allocation styles: most funds hold more stocks, so they perform better when the stock market rises; A small number of funds have conservative asset allocation and hold more bonds, so although they usually lag behind when the stock market rises, they show strong resilience when the stock market falls. Equity funds and allocation funds are the key, which are the proportion, industry and difference of buying stocks, but they are all investing in the stock market.

Investment allocation funds can make full use of the professional advantages of fund managers to allocate assets such as stocks, bonds and alternative assets. When there are investment opportunities in the stock market, the proportion of stock investment will be expanded to obtain stock market income to a greater extent; When there are investment opportunities in the bond market, increase the proportion of bond investment in order to obtain greater returns in the bond market. Generally speaking, it is through the choice of fund managers to obtain the investment income of the securities market and control the risks to a great extent.