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What does the liquidation line mean?
The fund liquidation line refers to the stop-loss warning line set by investors to ensure the safety of fund funds when investing in the fund, that is, when the fund falls to the liquidation line, it is necessary to stop and close the position in time to avoid further losses caused by the continuous decline of the fund.

Under normal circumstances, there is no liquidation line for ordinary funds, and only private equity funds with the letters "R" or "Rong" will set liquidation lines.

There is no specific figure for the fund's liquidation line. Generally, there is no liquidation line for ordinary funds, and only private equity funds with letters "R" or "Rong" will set liquidation lines. Often small institutions will close their positions when their fund losses reach 20%, and large institutions will close their positions when their fund losses reach 50%.

In addition, the on-site fund has a liquidation line, that is, when the on-site fund price is lower than that of 0.3 yuan, the fund will face liquidation risk.

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