Many people are worried that the fund they bought will fall, or even the net value of the fund will fall to 0 yuan. The following is Bian Xiao's collection about whether the fund's net value will fall to 0. Let's have a look! I hope it works for you!

Will the fund net value fall to 0?

The net value of the fund generally does not fall to 0. Because the fund will be liquidated after it falls to a certain extent. For graded funds, after falling to a certain extent, the basis will trigger the discount, so it will not fall to 0. Since the fund itself has no leverage, the probability of falling to zero is also very low.

The net value of a fund unit refers to the value of each fund and is an indicator to measure the value of the fund. Net value of fund unit = total net asset value of fund/total share of fund unit, and the subscription and redemption of open-end funds are carried out at this price.

Did the foundation fall to 0 yuan?

Usually, in the prospectus of each fund, it is clearly stipulated that when the loss ratio of the fund reaches a certain level, it will be liquidated, so it is unlikely to fall to 0 yuan.

Fund liquidation refers to the realization of all fund assets and the distribution of income to holders. The liquidation time is stipulated in the fund contract when the fund is established. The holders' meeting may modify the fund contract and decide the liquidation time of the fund. According to the relevant laws and regulations of China Fund, if the net asset value of the fund is less than 50 million yuan for 60 consecutive days, or the number of fund share holders is less than 200 for 60 consecutive days, the fund manager has the right to announce the termination of the fund after being approved by the China Securities Regulatory Commission.

In order to protect the interests of investors, strict and specific provisions should be made on the procedures and supervision of liquidation. If it should be agreed that the fund liquidation shall be approved by the CSRC, the circumstances stipulated in the contract shall be filed with the CSRC. After the liquidation begins, the time and frequency of publication in newspapers and periodicals shall be specified, and the transaction shall be stopped during this period, and the holder shall be paid with the net asset value at the closing date of the announcement.

Will the net value of bond funds fall to zero?

No, bond funds are funds that specialize in investing in bonds. Bonds are creditor's rights and debt certificates issued to investors by the government, financial institutions, industrial and commercial enterprises and other institutions when raising funds. They pay interest as promised and repay the principal as agreed, which has the characteristics of low risk.

Bond funds invest more than 80% of their assets in bonds, and bond funds can also invest a small part of their funds in the stock market, so even if the stocks they invest in lose money, they only account for a part of the total assets of the fund, so the net value of bond funds will not fall to zero.

When will the bond fund be bought?

Bond fund is a relatively safe financial management method with low risk and stable income. If you want to make money through bond funds, of course, you should buy at a low net worth and sell at a high price.

A good time for bond funds to buy;

1, the national economy can't be overheated, especially during the recession, because the bond fund price is inversely proportional to the interest rate, while the interest rate is directly proportional to the economy;

2. The looser the capital environment, the more favorable it is for bond funds and suitable for buying;

3. The higher the credit rating, the more stable the income of bond funds, which can be purchased according to their own investment needs.