We look at the investment ratio of some fund products and find that stock funds and bond funds can invest in stocks and bonds respectively. According to the relevant laws and regulations: if more than 60% of the fund assets are invested in stocks, it is a stock fund; If more than 80% of the fund assets are invested in bonds, it is a bond fund; Money market funds that only invest in money market instruments; Investing in stocks, bonds and money market instruments, and the ratio of stock investment to bond investment does not meet the above-mentioned stock type and bond type is called mixed fund. So bond funds can invest in stocks. According to the relevant laws and regulations: if more than 60% of the fund assets are invested in stocks, it is a stock fund; If more than 80% of the fund assets are invested in bonds, it is a bond fund; Money market funds that only invest in money market instruments; Investing in stocks, bonds and money market instruments, and the ratio of stock investment to bond investment does not meet the above-mentioned stock type and bond type is called mixed fund. For example, if the stock market is not good, then for equity funds, 60% of their fund assets still need to be invested in the stock market. According to Huafu's competitive investment ratio: "The proportion of stock investment in the fund's portfolio is 30-90%, the proportion of bond investment is 5-65%, and the cash is not less than 5% of the fund's net asset value."

Because the minimum proportion of its stock investment is 30%, and the minimum proportion of its bond investment is 5%, which does not meet the requirements of the minimum 60% of stock funds and the minimum 80% of bond funds, it is a hybrid fund. Generally speaking, the risk of stocks is greater than that of funds. For small and medium-sized investors, due to the limitation of the total amount of disposable assets, they can only directly invest in a few stocks, which violates the investment taboo of "putting all the eggs in one basket". When the stock they invest in falls due to the stock market or the financial situation of the enterprise deteriorates, their capital may be wiped out; The basic principle of the fund is portfolio investment, risk diversification, and investment in securities with different maturities and types in different proportions to minimize risks. Under normal circumstances, the principal of the bond is guaranteed, the income is relatively fixed, and the risk is smaller than that of the fund.