Overseas investment risk
QDII Overseas Investment Risk
1, manager risk
For domestic and overseas investment, it is very important to choose managers. Both the credit risk and financial risk of the fund determine the ultimate expected return of investors.
2. Exchange rate risk
Exchange rate risk is a unique risk of overseas investment. As we all know, when investors invest overseas, their profitability will be affected by the exchange rate. Analysis and observation of exchange rate changes can effectively spread risks.
3. Policy risks
Policy risk is the main factor affecting fund investment, and the rise and fall of fund value will be affected by the policies of the host country, and overseas investment may increase this influence.
Risks of overseas direct investment
In addition to QDII funds approved by the state, you can also directly invest in overseas funds through Hong Kong accounts. The risks of such investment funds come from the following aspects.
1, communication management risk
Overseas investment by both institutions and individuals will cause certain external risks due to geographical, language and other related factors. Direct consultation with foreign investment funds may cause corresponding losses due to information asymmetry.
2. The influence of different investment modes.
For some developed countries, compared with China investment funds, there is a big difference between them, which may lead to hidden risks and losses due to different regulatory scope.
3. Tax risks
The tax laws of different countries are different. Sometimes, the use of preferential tax policies can reduce costs and obtain higher expected returns. If you don't know enough about the tax policy of the investing country, it may cause losses.
The above is the relevant content of overseas investment risks, and I hope it will help you. Warm reminder, financial management is risky and investment needs to be cautious.