Investors can choose the fund type according to their risk tolerance. Investors with low risk tolerance can choose money funds and bond funds (the risk return of bond funds is higher than that of money funds), and investors with low risk tolerance can choose hybrid funds and equity funds.

The risk and return of a fund are determined by the investment target, such as a stock fund, which mainly invests in a basket of stocks, and the risk and return of the fund are determined by this basket of stocks.