Core Viewpoint - The article explains the concept of a specific financial product known as "automatic knock-in and knock-out options," which is often misrepresented as a stable income product. It highlights the inherent risks and complexities associated with this type of investment [4][50]. Group 1 - The product is referred to as "Z," which is essentially a type of put option linked to stock indices like the CSI 500 and CSI 1000. The buyer (referred to as Gu Chen) has limited risk but unlimited potential profit, while the seller (referred to as Lao Wang) faces unlimited risk with limited profit potential [29][50]. - The structure of the product allows for two key events: "knock-out" and "knock-in." A knock-out occurs when the stock index rises above a certain threshold, resulting in immediate returns for the investor. A knock-in happens when the index falls below a specified level, leading to potential losses for the seller [31][37]. - The article provides examples of different scenarios that can occur with this product, illustrating the potential outcomes based on the performance of the underlying index over time [35][46]. Group 2 - The investment strategy involves a trade-off between risk and reward, where the buyer pays a premium for the right to sell at a predetermined price, while the seller receives a premium but takes on significant risk if the market moves unfavorably [21][50]. - The article emphasizes that this type of investment is not suitable for individuals with low risk tolerance or limited financial knowledge, as the potential for significant losses exists if the market experiences a downturn [50][51]. - Overall, the product is characterized as complex and high-risk, contrasting sharply with traditional fixed-income investments or low-risk financial products [50].

Core Points - The company clarifies that it has not authorized any third party to use the "雪球" trademark in relation to high-risk automatic knock-in knock-out options products, which has caused confusion among users and investors [1] - The company has taken legal action to protect its trademark rights and the interests of investors [1][2] - The "雪球" trademark was registered in 2017 and is protected under trademark law, prohibiting unauthorized use [2] - The company has successfully won multiple trademark infringement cases, affirming its exclusive rights to the "雪球" trademark [2] - The company advises users and investors to fully understand the structure and risk characteristics of complex financial derivatives like automatic knock-in knock-out options before investing [3]