Generally speaking, in the downward cycle of interest rates, the transaction price of government bonds rises, which is beneficial to funds holding bonds; In the upward cycle of interest rates, the transaction price of government bonds fell and the funds held by bonds were damaged.

Among the types of bonds traded in China, treasury bonds and CDB bonds are generally regarded as "risk-free income bonds", while domestic high-grade city investment bonds are regarded as "risk-free income bonds"; In addition to the above three types, other bonds have defaulted in recent years, so in the weak economic stage, fund managers of bond funds rarely buy bonds with low credit rating and high default risk in pursuit of income.