Legal analysis: In terms of risk prevention, "preventing and resolving major risks" is the first of the three tough battles. Analysts believe that as long as the strategic goal of "preventing and resolving major risks" remains, the leverage of cyclical companies cannot be added up, which means that production capacity cannot be expanded.

Legal basis: "Securities Investment Fund Law of the People's Republic of China"

Article 1 In order to regulate the activities of securities investment funds and protect the legitimate rights and interests of investors and relevant parties, This law is formulated to promote the healthy development of securities investment funds and capital markets.

Article 2 Within the territory of the People’s Republic of China, a securities investment fund (hereinafter referred to as the fund) is established by raising funds publicly or non-publicly, which shall be managed by the fund manager and held by the fund custodian for the fund shares. For the interests of the holders, this Law shall apply to securities investment activities; if this law does not provide for this law, the Trust Law of the People's Republic of China, the Securities Law of the People's Republic of China and other relevant laws shall apply. provisions of administrative regulations.

Article 3 The rights and obligations of the fund manager, fund custodian and fund share holders shall be agreed in the fund contract in accordance with this Law. Fund managers and fund custodians shall perform their fiduciary duties in accordance with this Law and the provisions of the fund contract. Fund share holders of funds established through public offering (hereinafter referred to as public offering funds) enjoy income and bear risks according to the fund shares they hold, and income distribution of funds established through non-public offering (hereinafter referred to as non-public offering funds) and risk-taking are stipulated in the fund contract.