Most bond funds can invest in stocks at a ratio of 0-20%; A debt base that cannot invest in stocks is called a pure debt base. The difference between the primary debt base and the secondary debt base of bond funds lies in the restrictions on investing in stocks. Credit debt base is a special classification from the types of bonds invested by bond funds

1. Tier 1 debt-based investment stocks are limited to the proceeds from subscription of new shares and are not bought in the secondary market. The primary market here is the stock issuance market.

2. The way of secondary debt-based investment in stocks is not limited to subscription of new shares, but can also be bought directly in the secondary securities exchange market.

3. The characteristic of credit bond debt base is that bond investment is mainly based on credit bonds, which can be intuitively seen from the name of the fund. Credit bonds refer to bonds that are not guaranteed by any assets of the company, and belong to unsecured bonds, with relatively high risks but high yields.

According to the prospectus, this debt base is a bond fund that mainly invests in credit bonds, that is, theoretically, it can invest in many types of bonds, but mainly chooses credit bonds. In addition, credit debt base can also invest in stocks in a small amount, which does not conflict with the classification of primary debt base and secondary debt base. In addition, even ordinary bond funds can invest in credit bonds.