Did the equity fund lose all its principal?
The stock fund lost all its principal. Because the investment target of stock funds falls sharply, it will drive stock funds to fall, and investors' principal will naturally lose. All the principal of the equity fund is lost, but it will not be negative. Continued losses of the fund may lead to the risk of liquidation, and the remaining assets will be distributed to investors in proportion after the liquidation of the fund.
Generally, equity funds are all a basket of stocks. If losses continue, they may decrease with the size of the fund. Buying stock funds is losing money, which is what investors who have just entered the fund market need to understand. If the fund loses too much, it will eventually face liquidation and end the life cycle of the fund.
It can not be ignored that investment funds are risky, and there are certain costs in the process of investing in funds. After investors buy funds, they still need to do some proper tracking management. When you reach your target rate of return, you should redeem it in time, and then decide whether to continue holding it when there is a big loss.