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Will closed-end funds lose money?
According to whether the fund can be redeemed, the fund can be divided into open-end fund and closed-end fund. So, do closed-end funds lose money? What about the loss of closed-end funds? Below we have prepared relevant contents for your reference.

Closed-end funds will also lose money, that is, in the closed period, the target of fund investment and market conditions are unpredictable. When the target of fund investment falls sharply during the closed period, or the market is poor, the fund will be affected by this after the closed period, resulting in a decline in its net value, which is lower than the investor's subscription price. On the other hand, during the closed period, the target of fund investment will rise sharply, or the market is good, it will be closed.

If the closed-end fund loses money during the closed-end period, investors can't purchase and redeem it, but can only hold it; If the fund still exists after the closed period, investors can adopt the following investment strategies:

1. Complement.

Buy some during the decline of the fund, spread the fund cost evenly by increasing the number of fund holdings, so as to spread its risks and wait for the fund to rebound. It should be noted that investors should control their positions reasonably and buy in batches when covering operations.

Step 2 cut the meat out

Investors will also choose to sell all their funds. This situation is generally that investors think that individual stocks will continue to fall in the later period, and there is no hope of a rebound, so they will cut their meat.

Step 3 change position

Investors believe that the fund will continue to fall in the later period, and they can choose to sell and buy stronger funds to make up for the losses.

4. Hold your ground.

If investors are not very comfortable with their investment strategy, but make mistakes in operation, they can choose to hold positions and wait for the fund to rebound to achieve the purpose of closing positions.