There is not much difference between the new fund and the old fund in essence, and whether it can be profitable depends mainly on the future investment income. To put it simply, a fund means that everyone collects idle funds and gives them to the fund manager for management. If the management is good, then everyone will make money; If you don't manage well, you will lose money.

Investing in hedge funds can increase the diversity of the portfolio, and investors can reduce the overall risk exposure of the portfolio. Hedge fund managers use specific trading strategies and tools to reduce market risk and obtain risk-adjusted returns, which is consistent with investors' expected risk level.

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All kinds of problems, whether China's stock market construction, economic development or asset management industry, can't be eliminated in a short time, and all need the rationality of the market as a whole to promote it. However, as investors themselves, we must measure our risk tolerance clearly and not blindly listen to the propaganda of sales staff.

If your risk tolerance is weak, or the funds you want to use in the short term, you can't invest too much in a single stock fund to avoid being greatly affected by the risk of stock market fluctuations. Therefore, it is more practical for individual investors.

We should have a long-term investment mentality, choose appropriate fund products according to our own risk tolerance and renewal, avoid excessively chasing hot funds with outstanding short-term returns and pay more attention to funds with relatively stable long-term performance, and spread risks through fixed investment and portfolio allocation to obtain long-term stable returns.

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