Since the second half of the year, “fixed income +” products, which are highly anticipated as “financial alternatives,” have experienced a decline in net worth. Although the average decline was not significant, some funds fell by more than 20% or even 30%, and their net worth fluctuated sharply, greatly exceeding holders' expectations. Exploring the reasons for the sharp withdrawal of these funds, the same origin of profit and loss is a rule that cannot be circumvented. The boom in the first half of the year caused many “fixed income +” products to outperform the performance of equity funds. As a result, some products continued to be heavily invested in highly volatile technology stocks and related convertible bonds, leading to unbalanced position management and excessive concentration in the industry. Some analysts point out that when market sentiment is overheated and transactions are crowded, “fixed income +” fund managers should actively cash out profits and not follow the trend to amplify fluctuations. Furthermore, the core position of “fixed income +” is a low retracement and stable products. Some product portfolio configurations clearly amplify fluctuations, which deviates from the original purpose of the product, and fund companies' risk control mechanisms must maintain the bottom line of retracement.

Since the second half of the year, “fixed income +” products, which are highly anticipated as “financial alternatives,” have experienced a decline in net worth. Although the average decline was not significant, some funds fell by more than 20% or even 30%, and their net worth fluctuated sharply, greatly exceeding holders' expectations. Exploring the reasons for the sharp withdrawal of these funds, the same origin of profit and loss is a rule that cannot be circumvented. The boom in the first half of the year caused many “fixed income +” products to outperform the performance of equity funds. As a result, some products continued to be heavily invested in highly volatile technology stocks and related convertible bonds, leading to unbalanced position management and excessive concentration in the industry. Some analysts point out that when market sentiment is overheated and transactions are crowded, “fixed income +” fund managers should actively cash out profits and not follow the trend to amplify fluctuations. Furthermore, the core position of “fixed income +” is a low retracement and stable products. Some product portfolio configurations clearly amplify fluctuations, which deviates from the original purpose of the product, and fund companies' risk control mechanisms must maintain the bottom line of retracement.