Stock type: 60%-95% of stocks and 0-40% of bonds, such as Huaxia Income Stock;
Balanced type: stocks account for 30%-75% and bonds account for about 50%, such as balanced allocation and mixing;
Bond type: no more than 20% stocks and 80% bonds, such as E Fund's enhanced return bond fund.
As we all know, stocks are high-risk and high-yield, while bonds are defensive varieties with low risks and low returns. Therefore, the greater the proportion of fund stocks, the smaller the proportion of bonds, the greater the risk and the higher the expected return, but high risk does not mean high return, which requires good operational skills.