1. Of course, it needs to be considered that the measurement of fund risk coefficient is generally mainly based on the β coefficient. Different types of funds cannot be compared together.

For example, for stocks, hybrids, bonds, etc., the beta coefficient measures the overall volatility of fund returns relative to performance evaluation benchmark returns, and is a relative indicator.

The higher the β, the greater the volatility of the fund relative to the performance evaluation benchmark.

If β is greater than 1, the volatility of the fund is greater than the volatility of the performance evaluation benchmark.

vice versa.

If β is 1, then the market rises by 10% and the fund rises by 10%; the market falls by 10% and the fund falls by 10%.

If β is 1.1, when the market rises by 10%, the fund rises by 11%; when the market falls by 10%, the fund falls by 11%.

If β is 0.9, when the market rises by 10%, the fund rises by 9%; when the market falls by 10%, the fund falls by 9%.

2. Because stocks themselves are high-risk and high-return types.

3. Not necessarily, it depends on the risk of individual stocks. Some mixed funds with a small proportion of stocks have higher risks than stock funds.

4. Of course, it needs to be considered that the fund investment portfolio itself is to control investment and spread risks.

The purpose of an investment portfolio is to resolve investment risks and ensure vested profits.

First of all, it is generally not advisable to purchase more than 3 funds. This will consume too much investment energy and the investment effect may not be good.

Second, do not buy more than two products of the same type, because if you encounter uncontrollable risks, products of the same type will be in danger at the same time, and the risk cannot be avoided. If both returns are good, buying the better one is enough.

Third, do not buy products from the same fund company. If the fund company itself has problems, it will affect all its fund products, and the risk is still very high.