Bond fund refers to a fund that specializes in investing in bonds. By pooling the funds of many investors, it makes portfolio investment in bonds and seeks relatively stable returns. In China, bond funds mainly invest in government bonds, financial bonds and corporate bonds. Usually, bonds provide investors with a fixed return and repay the principal at maturity, and the risk is lower than that of stocks. Therefore, compared with stock funds, bond funds have the characteristics of stable income and low risk.

profit

Generally speaking, the average annualized rate of return of pure debt base is between 6% and 8%, but its amplitude is relatively large. For example, in last year's bond bull market, the overall return of pure debt base exceeded 12%, while in 20 13 years, it suffered collective losses due to many black swan events. However, in the long run, the overall situation has been on the rise.

liquidity

Bond funds are divided into regular open debt base and open debt base. If the debt base is opened regularly, the product cannot be redeemed before the date agreed by both parties. If it is an open debt base, it can be redeemed at any time on working days. Generally speaking, there is a time difference from redemption to receipt, which is usually about one working day. If you buy through a bank account, the process will be longer. Therefore, investors should clearly understand the time of redemption when choosing redemption.

danger

The risk of bond funds mainly comes from the credit of borrowers. If the borrower defaults, the bond fund may be significantly adjusted. However, up to now, China's debts have been paid rigidly, so the overall risk is not great.