Risks of bond funds:
1, unknown price risk of bond fund purchase and redemption, because bond funds belong to open-end funds, and because investors refer to the data of the last fund open day when purchasing or redeeming on the same day, investors cannot predict and know at what price, so this is the unknown price risk of bond fund purchase and redemption;
2. Investment risks of bond funds. Bond investment risk mainly refers to the risk that the expected annualized interest rate changes affect the expected annualized expected return of bond investment and the credit risk of bond investment;
3. Force majeure risk refers to the risk brought to fund investors when force majeure such as war and natural disasters occurs;
4. Market risks, mainly including policy risks, expected annualized interest rate risks, economic cycle risks, operating risks of listed companies and purchasing power risks;
5, policy risk, policy risk refers to the changes in national macro policies (such as monetary policy, fiscal policy, industrial policy, regional development policy, etc.). ), leading to market price fluctuations and risks;
6. Economic cycle risk means that with the cyclical changes of economic operation, the profitability of various industries and listed companies also changes periodically, thus affecting the trend of individual stock secondary market and even the whole industry sector;
7. Risk of expected annualized interest rate. Expected annualized interest rate risk refers to the fluctuation of expected annualized interest rate in the market, which will lead to the change of securities market price and expected annualized expected rate of return. The expected annualized interest rate directly affects the price of national debt and the expected annualized expected rate of return, and affects the financing cost and profit of enterprises. If the fund invests in treasury bonds and stocks, its expected annualized expected income level will be affected by the expected annualized interest rate change;
8. Operating risks of listed companies. The operational risk of listed companies means that the operational quality of listed companies is affected by many factors, such as management ability, financial situation, market prospect, industry competition and personnel quality. All these will lead to changes in corporate profits. If the listed company invested by the fund is not well managed, its share price may fall, or the profit available for distribution may decrease, thus reducing the expected annualized expected return of the fund investment. Although the fund can disperse this unsystematic risk by diversifying investment, it cannot be completely avoided;
9. Purchasing power risk. Purchasing power risk means that the profit of the fund will be mainly distributed in cash, which may lead to the decline of purchasing power due to the influence of inflation, thus reducing the actual expected annualized expected income of the fund.