Bond private equity funds refer to private equity funds with fixed-income financial instruments such as government bonds and financial bonds as their main investment targets. According to the classification standard of China Securities Regulatory Commission, bond funds refer to funds with more than 80% of fund assets invested in bonds.

Advantages of bond private equity funds:

1. Ordinary investors can easily participate in investment in products such as inter-bank bonds, corporate bonds and convertible bonds. These products have various inconvenient restrictions on small funds, and buying bond funds can break through this restriction.

2. When the stock market is depressed, the expected annualized income of bond funds is still very stable and is not affected by market fluctuations. Because the expected annualized income of products invested by bond funds is very stable, the expected annualized income of corresponding funds is also very stable. Of course, this also determines that its expected annualized income is subject to the expected annualized interest rate of bonds and will not be too high. The expected annualized interest rate of corporate bonds is about 4.5%, and the expected annualized rate of return after deducting the operating expenses of the fund is between 3.3% and 3.5%.

Disadvantages:

1. Only if you hold it for a long time can you get a relatively satisfactory expected annualized return.

2. When the stock market is skyrocketing, the expected annualized income is still stable at the average level, which is lower than that of equity funds, and even there is the risk of loss when the bond market fluctuates.