In fact, it’s not just Yu’e Bao. The current yields of monetary funds on other currency fund platforms, such as WeChat’s Lingqiantong, Tencent’s Wealth Management, and JD.com’s Little Treasury, have also fallen below 2.5% or remained around 2.5%.

Therefore, this is not the situation of Yu'e Bao alone, but the situation of the entire market.

The main investment directions of monetary funds are bank deposits, bonds, bills, etc., of which bank deposits account for the main part. The interest rates given by these products determine the rate of return of monetary funds such as Yu'e Bao.

Since 2018, the central bank has lowered the reserve requirement ratio five times in a row, releasing trillions of liquidity and enriching banks' own capital pools. The interest rates offered by banks with sufficient own funds have accordingly dropped accordingly.

Therefore, the yields of money funds currently on the market have declined to varying degrees.

Purely in terms of yield, Yu'E Bao currently has no competitive advantage, because whether it is a bank's current wealth management product or various smart deposits of private banks, its yield is much higher than Yu'E Bao and it is also more convenient.

It is not inferior to Yu'E Bao. If we simply consider the income, some people should withdraw from Yu'E Bao and switch to other products. However, it is unreliable to say that many people do not store funds in Yu'E Bao.

Yu'e Bao is still the most convenient product. Many people invest in Yu'e Bao not primarily because of its yield, but because of its convenience in consumption, which can be used directly for payment.

At present, Alipay and WeChat Pay are the two most popular payment methods on the market, and Alipay is applicable to a wider range of scenarios than WeChat. Furthermore, many people think that Alipay is more secure than WeChat (the security is actually about the same, but Alipay has an advantage. Every time

The remaining principal will be reflected no matter how much you consume. Just like a bank passbook, people can clearly understand the changes in funds. However, WeChat never reflects the remaining funds after each purchase, so sometimes too many purchases will make it difficult for you to remember.

Whether your principal has been secretly reduced? This technology is not difficult. I don’t know why WeChat has not launched it.)

Yu'e Bao's current function is more focused on wallets, and financial management is just incidental. Moreover, its current yield is still much higher than the one-year interest rate of most banks. Therefore, Yu'e Bao is still the first choice for most people. Although there are withdrawals, but

Not much.

No matter how much Yu'e Bao falls, I still put my money in Alipay. I really don't trust banks!

Five years ago, someone sent me a link. It was a Trojan horse. I didn’t understand it at first, so I clicked on it. Soon after I clicked on it, the money in my bank card was deducted every five minutes or so.

50 yuan. I thought to myself that I was in trouble. I still had more than 2,000 yuan in my bank card. Because the bank card was bound to Alipay, the other party must have cracked my bank card password through a Trojan horse. I hurriedly transferred all the money to Alipay.

**Deducted 150 yuan from me!

The next day I took my bank card to the ATM to change my password. Within two days of changing it, my bank card was frozen. It turned out that I had changed my password, and the other party tried to crack my password again. Finally, it was frozen by the bank. I guess the bank passed it.

IP discovered that the bank card password was changed abnormally. Later, I went to the bank and canceled the card, and I never dared to use that card again!

Please do not click on unfamiliar links, as they may be Trojan horses!

Yu'e Bao's current seven-day annualized return rate is 2.6%, which has dropped 1.6% from last year's highest level of 4.2%. Putting a principal of 100,000 yuan in it will reduce the income by 1,600 yuan over the course of a year.

Yu'e Bao's seven-day annualized yield fell below the 2.5% level. Are there many people who don't want to put their money in it?

1. Some investors will switch to other money fund platforms. After all, the seven-day annualized rate of return of Yu'e Bao among the money fund platforms is relatively low.

To understand the benefits of Yu'e Bao, you must first understand currency funds.

What is the relationship between these two things?

Yu'ebao itself does not have financial management functions, so what should you do if you want to have financial management functions?

Just find a partner who can manage your finances.

As for this partner, if the risk is high, then the pressure on Yu'e Bao will be greater, the risk will be high, and users will not be willing to deposit money in it.

Therefore, Yu’e Bao can only look for partners with medium and low risk levels.

After searching around, are there any products on the market that are more suitable?

Monetary Fund.

Monetary funds mainly focus on fixed-income investment currencies, with medium and low risk levels. To a certain extent, there is no risk of principal damage.

What we found is now Tianhong Fund.

So, let's get these two friends together.

The division of labor between the two is also very clear: Yu'e Bao, as an extension tool for Alipay's fund storage, serves as the connection entrance for users, connecting Alipay and monetary funds. Of course, it can now directly correspond to banks.

And present all the information to the user.

What about money funds?

As an income-generating financial investment product, the investment channels are products with medium and low risk levels: bank deposits, certificates of deposit, treasury bonds, treasury bond reverse repurchases, trusts, bank financial management, etc.

The annualized rate of return of money funds is affected by the annualized rate of return of market comprehensive products.