Lock-in fund refers to the operation that the fund manager locks the fund share for a certain period of time through the contract and cannot buy or sell it. This operation is common in OTC funds, and it is a fund investment management method, which is mainly used to limit the circulation of fund shares or protect the value of fund shares.

There are two main functions of locking positions in funds. On the one hand, by locking the position, we can protect the value of the fund and prevent excessive trading or speculation from adversely affecting the value of the fund. On the other hand, locking positions can also control the investment cycle of fund shares, thus better managing funds. At the same time, fund managers can also control the supply and demand of fund shares by locking positions and improve the market liquidity of funds.

Although locking positions in the fund can protect the value of fund shares, there are also some potential risks. On the one hand, if the fund manager does not correctly estimate the market risk or changing trend, it may lead to a decline in the liquidity of fund shares and bring adverse effects to investors. On the other hand, locking the position may also cause the fund manager to have insufficient assets to meet the redemption requirements in some cases, thus affecting the liquidity of the fund. Therefore, investors need to know the fund's investment strategy, risk and return, lock-in period and so on before investing.