Many investors have been exposed to graded funds. The parent fund is divided into A shares and B shares, and the expected return types of different fund shares are different. In fact, there are also classified wealth management products in bank wealth management products, so what is the difference between classified wealth management products and non-classified wealth management products?

1. Differences between graded wealth management products and non-graded wealth management products

There are two types of graded wealth management products. One is to divide customers into different grades according to different investment amounts, and the expected benefits and risks of different grades of customers buying the same wealth management product are different. The expected income and risk of non-graded wealth management products do not distinguish between customer groups.

another type of graded wealth management products refers to splitting products into two or more layers of "priority+inferior level" and distributing them separately, or the same product contains both priority and inferior level shares. Investors can freely choose the subscription type according to their personal needs.

general priority products belong to fixed expected income products, while inferior products belong to floating expected income products. The principal and expected income of priority products should be paid in priority over inferior products. When the actual expected income of priority products can't reach the expected expected income, the funds of inferior products will be used to make up for it. However, if the actual expected income of the priority product exceeds the expected expected income, the remaining expected income will be owned by the inferior subscribers.

therefore, the risk of inferior products is higher than that of priority products, and the risk tolerance of investors is also higher. However, high risk often means high expected income, so many institutions and private bank customers prefer to buy inferior financial products.

2. Risks of graded wealth management products

Graded wealth management products are highly leveraged, but their investment operation is not transparent, which may lead to opaque investment. And the fixed expected income type of priority products is also inconsistent with the current requirement of breaking rigid redemption.

The above contents about the differences between classified wealth management products and non-classified wealth management products, I hope to help you. Warm reminder, financial management is risky and investment needs to be cautious.