In the context of falling interest rates, the expected rate of return of money funds has gradually declined, and many small partners have begun to switch to relatively stable pure debt funds. Although pure debt funds are less risky than other bond funds and equity funds, it does not mean that there is no risk. So which is the pure debt fund?

1, fund size

In fact, no matter what fund products you choose, you need to pay attention to the fund size. Pure debt fund, the fund size is more than 500 million yuan and less than 5 billion yuan.

The smaller the fund, the greater the risk of fund liquidation. The larger the fund scale, the better the effect of diversifying the default risk of bonds, and the stronger the bargaining power of fund managers, so that they can buy bonds with higher cost performance.

2. Institutional shareholding ratio

The research ability of institutions for products is much stronger than that of ordinary retail investors, so the higher the proportion of institutions among fund holders, the more favorable it is for investors.

Step 3 withdraw funds

The main factors for investors to choose pure debt funds are the security and expected income stability of pure debt funds. It is suggested to choose pure debt funds with small net value fluctuation and small withdrawal.

4. Investment scope

Theoretically, a pure debt fund refers to a fund with 100% investment in bonds, but in fact, the definition of a pure debt fund is not quite the same.

Among the pure debt funds selected through the fund consignment platform, part of the investment scope still includes stocks, convertible bonds and new shares.

Therefore, if you want to buy a real pure debt fund, don't rely too much on the platform screening function, but also need to know its investment scope in detail through the fund file.

5. Fund expenses

The same bond fund is divided into Class A, Class B and Class C according to different charging methods. Class A is the front-end charge, that is, the subscription fee is charged, while Class C is exempt from the subscription fee, but it needs to charge the sales service fee, but the sales service fee has been reflected in the fund's net value. Investors can screen out pure debt funds with cost performance according to the length of investment period.

The above content about which good debt fund to buy, I hope it will help everyone. Warm reminder, financial management is risky and investment needs to be cautious.