At present, Public Offering of Fund does not allow large-scale use of financial leverage, and there will be no loss of 0. The fund will hold stock spot, that is, hold shares. As long as the stock value is less than 0, the net value of the fund cannot reach 0. Moreover, the state has a liquidation system for funds! Article 44 of the Measures for the Operation and Management of Securities Investment Funds promulgated in 2004 stipulates that if the net asset value of the fund is less than 50 million yuan for 60 consecutive days, or the number of fund share holders is less than 65,438+000 for 60 consecutive days, the fund manager has the right to announce the termination of the fund after approval by the China Securities Regulatory Commission. In case of any of the above-mentioned circumstances for 20 consecutive working days after the contract comes into effect, the fund manager shall explain the reasons to the China Securities Regulatory Commission.