Novice investors don't know much about the fund and are worried about the risk of the fund. They are afraid that after buying the fund, the money will be equal to zero. So if the fund falls to zero, will the money be gone? The following small series will answer your questions. If the fund falls to zero, the money will be gone. Below is the fund falling to 0, and the money is gone!

Fund decline 100%. No money?

Theoretically, if the fund falls by 100%, the principal will be lost, but in practice, this rarely happens because the foundation is graded. Generally, money funds and bond funds have little risk. They don't invest in the stock market, and their income is calculated on a daily basis, with little loss.

Equity funds, hybrid funds and index funds are relatively risky funds, some of which are invested in the stock market. Although the risk is relatively high, it is unlikely that they will fall by 100%, because some investors will stop their losses when the funds fall, and will not make them lose money. If they redeem a little, they won't lose 100%.

Will the fund net value fall to 0?

Generally speaking, the net value of the fund rarely falls to zero, because when the fund loses money to a certain extent, the fund will be liquidated. If the fund is liquidated, the fund will not continue to lose money and will distribute the remaining shares to investors.

If the fund loses money to the extent of liquidation, there will basically be no more left, so when buying a fund, you should learn to stop loss, that is, you should set a stop loss point. When the fund loses to this stop loss point, it is necessary to stop the loss in time to avoid the loss from expanding. When the fund returns to a certain extent, everyone needs to learn to take profit.

If the fund falls to zero, will the money be gone?

If the fund falls to 0, the principal will be gone, but this phenomenon will not occur, because from the essence of the fund, its net value is impossible to fall to 0, because a fund may allocate a dozen or twenty stocks, and the stocks in the pool will always rise and fall, and there is almost no probability of falling to 0.

Moreover, the net value of the fund has been falling, and it will be dissolved if it hits the set lowest price. The assets of the fund are less than 50 million for 20 consecutive trading days, and the number of fund holders is less than 200 for 20 consecutive trading days, which will trigger the liquidation conditions. When the fund is dissolved, the remaining net fund value is distributed to investors. In the end, investors can still get some money instead of losing everything.

Judging from the conditions of fund dissolution, it is really impossible for the fund to fall, let alone fall into negative numbers. So there is only one explanation for this situation, that is, the fund has been leveraged. If investors add leverage when buying their own funds, then after the fund falls sharply, investors may lose all their money and even need to post it backwards, but the net value of the fund will not fall to zero.

If the fund falls to zero, will the money be gone?

If the fund falls to 0, the money will be gone, because if the income of the fund is 0, it means that your money is losing money, and this account will not make money or lose money, but generally speaking, it is rare for the fund to fall to 0, because the decline of the fund takes a long time and basically will not lose money at once.

To give a simple example: stock funds mainly invest in stocks, but stock funds invest in multiple stocks, so you can see that the fund has heavily invested in stocks, which has dispersed the risk of stocks to some extent. Secondly, there will be a price limit for ordinary stocks, which is generally 10%. Excluding GEM and science and technology innovation board stocks, it seems that stock funds will not lose money at once.

Therefore, when the fund loses money, everyone needs to set a stop loss point, that is, to avoid further losses caused by the fund's continued decline, so it is necessary to redeem the fund's stop loss.

What should I do if the fund I bought is still losing money after two years?

If the fund you bought has been losing money for two years, it is necessary to analyze the reasons why it has not been redeemed for two years, how likely it is to go up, how likely it is to go down, what is the investment direction, and whether there is any future prospect. These are all necessary to analyze the reasons.

If you are optimistic, you can wait for the fund to return to its original capital. If you are not optimistic, you can choose to stop loss in time and give up early, so you can lose a little money. Generally speaking, funds are still in a state of loss after two consecutive years of losses, which basically belongs to high-risk funds.

Generally, the risk of high-risk fund types will be greater. If you can't afford it, you can choose to give up and redeem it in advance. You can consider other funds and choose more when choosing funds.

For example, when choosing a fund, it depends on the fund manager, how the fund manager's past income is, what kind of investment style he belongs to, and whether he works for a long time. Generally speaking, he will be better and more experienced. Because funds are managed by fund managers, it is very important to choose a good fund manager.

Why Alipay is cheap to buy funds?

Alipay buys funds cheaply because Alipay belongs to a third-party platform, and the funds inside do not belong to Alipay, but belong to other fund companies to sell on Alipay. This kind of purchase does not need anyone to promote, saving labor costs. Therefore, the discount of the foundation attracts everyone to buy it. Generally, the subscription fee for Alipay to purchase funds will be 1 discount.

The essence of fund discount is to attract investors to buy, which can realize small profits but quick turnover, but when buying a fund, we should consider several aspects more, and don't buy a fund when it is cheap.

Because the fund is a risky investment, if it is not bought well, the fund will be in a downward trend for a long time, and then the fund will suffer serious losses. Therefore, when buying a fund, it is possible to make money by holding a good fund for a long time.

So how to choose a good fund? First of all, we should refer to the past income of the fund and try to consider the fund with better past income. Although the past does not represent the future, it will still have certain reference significance.

Secondly, it is necessary to understand what the investment direction of the fund is, and then analyze it. In addition, it is very important to choose a good fund manager, because the fund manager is the person who manages the fund. When choosing the working years of fund managers, it is best to consider long career and more experience.