Why buy a newly issued capital preservation fund? What are the characteristics of the newly issued capital preservation fund? The following small series will tell you.

Investment concept of capital preservation fund

Capital preservation fund refers to a fund that guarantees a certain proportion of investors' investment principal (generally 80- 100%) within a fixed investment period. That is to say, fund investors can get back at least a certain proportion of the principal at the maturity date of the investment period according to the investment results of the fund manager, but there are still some risks in the part that is not guaranteed (referring to the fund with the guaranteed interval less than 100%) and the income.

At present, the market is in an unprecedented boom period of capital preservation fund, and Dr. jing yuan's capital preservation fund has also started to raise and issue. Many capital preservation funds were snapped up in June 5438+065438+ 10. Why is the newly developed capital preservation fund so sought after by investors? The term of the capital preservation fund is generally longer. Once the fund is raised, it will become semi-closed and does not support redemption, which is also to reduce the redemption cost of investors. And it is difficult to get the promise of capital preservation after redemption. Let's discuss the reasons for buying the capital preservation fund of Bianxiao Xinfa Bank:

Operation method of capital preservation fund:

Capital preservation funds often use fixed proportion portfolio insurance technology (CPPI) to realize capital preservation. The basic idea of this technology is to invest most assets (insurance bottom line) in fixed-income securities to ensure that the principal can be recovered when the capital preservation expires; At the same time, the remaining small amount of funds (safety mat) will be doubled and invested in the stock market to obtain high returns in the stock market. In this way, if the stock market rises, the funds invested in the stock market by CPPI according to the magnification will increase, thus increasing the investment income of the fund; On the contrary, when the stock market falls, the amount of funds invested in the stock market calculated by CPPI will decrease, and the fund will transfer some funds from the stock market to the bond market with less risk, thus avoiding the risk of stock market decline and ensuring that the total assets of the fund are not lower than the predetermined safety bottom line.

In addition to using capital preservation technology in the investment process, capital preservation funds generally have guarantors with good credit. For example, Tiantong Capital Protection Fund, which is about to be issued, takes the powerful and reputable National Development and Investment Corporation as the fund guarantor. If the redeemable amount plus accumulated dividends during the capital preservation period is lower than the investment amount, the guarantor shall guarantee to pay the above difference to the holder; However, if the fund holder does not hold the fund to be redeemed at maturity, this safeguard clause does not apply to the redemption part.

Why buy a newly issued capital preservation fund?

1. The capital preservation clause of the general capital preservation fund stipulates that if it is redeemed after the maturity date (one capital preservation period), the redemption part will be protected by the capital preservation clause; Redemption before the maturity date will not be guaranteed. The combination insurance technology used by the capital preservation fund needs to ensure that the safety buffer of the fund assets will not be lost at the end of the capital preservation period, and the fixed-income securities investment part needs to have a stable cash inflow to the maximum extent during the capital preservation period. The redemption behavior of investors during this period will affect the stability of cash flow and increase the difficulty of capital preservation. Therefore, the general capital preservation fund will enter a "semi-closed" state after its establishment, and investors are not encouraged to redeem it during this period; The usual practice is to increase the redemption fee during the insurance period, and there is no guarantee to redeem part of the principal in advance. Limited by the capital preservation clause, investors should subscribe for the newly issued capital preservation fund.

2. At present, few capital preservation fund products launched by fund companies can be redeemed before the maturity date. However, after the subscription period, it is not good for investors to buy capital preservation funds with CPPI strategy. For the capital preservation fund of CPPI, during the continuous decline of the stock market, most of the assets have been transferred to the bond market; At this time, although the investor's principal (or security pad) is still guaranteed, the value-added ability of the fund's total assets has been greatly weakened; When the stock market turns up in the future, the capital preservation fund does not have enough risky assets to obtain stock market income. Therefore, when the stock market continues to fall, investors may buy capital preservation funds at a price lower than the face value, and their future earnings may be affected.

Then the doctor's environmental source capital preservation fund will soon be snapped up, so we'd better hurry up and leave. Many people in the industry said that the good market of capital preservation funds will continue until next year, which is also the gospel of many investors with small risk-taking ability.