1. Hierarchical funds are divided into different shares, and the risks of different shares are quite different; although general funds are also divided into different shares, they are based on charging methods, and the risks between different shares are basically the same. 2. Graded funds have leverage, but ordinary funds do not. Graded funds are divided into Grade A and Grade B. Share B uses the funds of Share A to expand leverage. If a loss occurs, the funds of B will be lost first. If the market fund has leverage, the ordinary fund does not. Graded funds are divided into Grade A and Grade B. Share B uses the funds of Share A to expand leverage. If a loss occurs, B's funds will be lost first. If the market is unfavorable and threatens A's safety, the graded fund will discount. 3. The threshold for opening an account for graded funds is higher. Before opening a tiered fund, investors must meet the requirement that the average daily securities assets under their name in the last 20 trading days are not less than 300,000.