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Are there risks in PE equity investment funds?

There are risks and they are high-risk investment products.

The PE category invests in the equity of unlisted companies and obtains income by listing the company or increasing the valuation of the company as it grows.

For growth companies, the probability of failure is very high. For example, in the taxi-hailing field, after several years of competition, only Didi remains, while the others have been eliminated or merged.

Therefore, equity investment funds are high-risk products that test the managers’ vision and resources.