Core Insights - The article defines hybrid funds as investment products that simultaneously invest in various financial instruments such as stocks, bonds, and money markets [2] - The development of hybrid funds has been driven by the increasing demand for diversified investment from investors, leading to a continuous evolution in asset allocation methods and investment strategies [2] Classification - Hybrid funds can be categorized into three types: equity-oriented hybrid funds, debt-oriented hybrid funds, and balanced hybrid funds. Equity-oriented hybrid funds typically allocate 50%-70% to stocks; debt-oriented hybrid funds allocate 50%-70% to bonds; balanced hybrid funds maintain a relatively even distribution, with approximately 40%-60% in both stocks and bonds [2] Characteristics - The asset allocation ratio of hybrid funds is relatively flexible, allowing for dynamic adjustments of asset weights based on market conditions to pursue stable returns, making them suitable for investors with different risk preferences [2] Risk Assessment - The risk level of hybrid funds depends on the allocation ratio of stocks and bonds. Equity-oriented hybrid funds carry relatively higher risks, debt-oriented hybrid funds have lower risks, and balanced hybrid funds present moderate risks [2]