Recently, everyone is discussing whether convertible bond funds are risky. Bian Xiao specially inquired about some relevant documents and compiled the following materials for your reference.

? This is a concern of many investors. Convertible bond fund is an investment tool, and the main investment object is convertible bonds, which has the characteristics of fixed income of bonds and room for stocks to rise. Below we will discuss the risks and benefits of convertible bond funds in detail.

Let's look at the income of convertible bond funds. The income of convertible bond funds is more stable than that of traditional bond funds and pure equity funds. This is because convertible bond funds have both the stable income of bonds and the rising space of stocks. At the same time, the yield of convertible bond funds is relatively high, usually above 6%. For investors who pursue stable income and want to enjoy the rising space of the stock market, convertible bond fund is a good choice.

Convertible bond funds also have risks. Convertible bond funds invest in convertible bonds, and the issuers of such bonds are usually small and medium-sized enterprises. The financial situation of these enterprises may not be as stable as that of large enterprises, so the investment risk of convertible bonds is also high. There are also risks in the stock investment of convertible bond funds. If the market falls as a whole, the loss of stock investment may offset the income of bond investment, resulting in the loss of investors. The management cost of convertible bond funds is also high, which will also have a certain impact on investors' income.

What we need to pay attention to is that investors need to consider their risk tolerance when choosing convertible bonds funds. If investors have weak risk tolerance, they can choose some bond funds with lower risks to ensure the stability of investment. If investors have strong risk tolerance, in order to pursue higher returns, they can choose some equity funds or hybrid funds with higher risk appetite.

Convertible bond funds have the advantages of stable income and certain investment risks. Investors should choose their own investment products according to their risk tolerance and investment objectives.