1. Establish an effective clearing line.
If the stock investment part can be closed in time with a certain range of impact costs, there will be no compensation. At the same time, considering that if the market liquidity continues to decline, the capital preservation fund will have a special person to make daily calculations in its daily operation, leaving enough safe space to prevent such dangers. In extreme cases, the fund company will supplement it with the management fee charged.
2. Institutional arrangement and implementation of risk monitoring management
Risk control is generally mainly completed by risk monitoring personnel. The security design of multiple monitoring firewalls will effectively ensure the smooth operation of the capital preservation investment mechanism. The fund company will set up an independent dynamic balancer, and the adjustment of the main investment ratio will be cross-checked by the dynamic balancer and risk monitoring personnel.
3. Risk control through CPPI strategy.
The basic principle of CPPI strategy is to use the income from bond investment as the risk capital that can be lost and go to the stock market to earn higher income. For example, the initial assets of a fund are10 billion yuan. If you buy bonds with 950 million yuan and get 50 million yuan in maturity, then you can buy stocks with the remaining 50 million yuan. Even if all the stocks lose money, the fund as a whole will not lose money.
In practice, it is impossible for stock assets to lose 100%. Therefore, the capital preservation fund can amplify the bond income to some extent before investing in the stock market. Under extreme circumstances such as sudden huge market decline and extreme loss of liquidity in a short period of time, strict implementation of CPPI strategy can basically realize the guarantee of "principal security".
4. Make dynamic adjustment according to the fund income and net value.
During the insurance period, the proportion range of investment stock assets in the portfolio of the capital preservation fund is dynamically adjusted with the fund's previous income and the fund's net value level to prevent falling and participating in appreciation. Compared with the stock market in the same period, the total annual income of the capital preservation fund shows obvious low-risk characteristics.