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What does the sharp drop in fund valuation mean?

Hello, the sharp drop in fund valuation means that the fund's intraday estimate for it has dropped significantly. This situation usually occurs in extreme market conditions. If the valuation plummets, the fund's net value will generally plummet.

Falling fund valuations are investment opportunities for investors. When fund valuations are low, investors bear less risk, the fund has more room for growth, and the probability of earning returns is greater. However, investors still need to make a comprehensive analysis based on market conditions and other factors. Valuation is not the only criterion for base selection, but is only used as a reference indicator.