The worst result of the loss of bond funds is a total loss of principal, but there will be no loss of principal, because the continuous decline of funds will lead to the risk of liquidation. After liquidation, the fund company will distribute the remaining funds to investors, so there will be no loss of principal. Moreover, bond funds mainly invest in a basket of bonds, and the fund risk is determined by the bonds invested, and the bonds themselves have the characteristics of low risk, so the probability of bond funds losing money is very small.

Fund liquidation conditions: 1. The liquidation conditions will be triggered when the asset size of the fund is less than 50 million yuan for 20 consecutive trading days; 2. If the number of fund holders is less than 200 for 20 consecutive trading days, the liquidation condition will be triggered.

Bond funds mainly invest in bonds (according to regulations, the proportion of funds investing in bonds is not less than 80%), and bond funds have the characteristics of low risk and stable income.