Bond funds usually have a long term, mainly treasury bonds, central bank bills and financial bonds. Bond funds refer to funds with fixed-income financial instruments such as treasury bonds and financial bonds as their main investment targets. Because the income of its investment products is relatively stable, it is also called fixed income fund. Bond funds can be divided into three types: pure bond funds, ordinary bond funds and convertible bond funds:

1. Pure debt funds can invest in money market instruments and bonds, but they cannot invest in stocks, warrants or convertible bonds.

2. According to the length of the portfolio, it is divided into short-term debt base and long-term debt base. The short-term debt base has bond funds that are combined within three years, and the long-term debt base mainly invests in long-term bonds, with no clear term limit.

3. Convertible bond funds mainly invest in convertible bonds, accounting for about 60%, which is higher than the convertible bonds held by ordinary bond funds. Convertible bonds allow buyers to convert their purchased shares into company shares under certain conditions.