In fact, the fund market in China is getting better and better with the gradual improvement and development. Under normal circumstances, in the long run, funds will show an upward trend. For funds with long-term or sustained losses, the fund manager will appropriately change the fund allocation to achieve the effect of stop loss, or take measures such as fund discount to wait for the market to pick up.

Under extreme circumstances and conditions, when the net value of the fund loss fund unit reaches 0, the fund will be liquidated and delisted according to the relevant provisions of the national fund closure, so that the investment principal will be lost, but it will never become negative.

Extended data

Fund investment is generally a long-term investment, and all values are estimated according to the net value of the fund, which is the embodiment of the value of the fund. Generally speaking, due to the value of the fund's investment target, even if the value of a fund has been falling, it will not lose money completely and there will be no debt.

If there is an extreme situation-the net value of the fund falls to zero, the foundation will be liquidated and delisted, and the principal will be lost, but it will never be in debt. Therefore, the fund will not lose money after the principal loss.