Why doesn't the United States have foreign exchange reserves? Can Chinese buy American funds?

Do you know something about international monetary reserves? For example, why does the United States have no foreign exchange reserves? Based on the trend of the international status and economic strength of the United States, the U.S. dollar is still the dominant currency in the world. There are three types of foreign exchange reserves in the world: the first is the dominant currency, the second is the dominant currency, and the third is the common currency. Among them, the overlord is totally independent of the reserves.

The U.S. dollar is the dominant currency, and others such as the euro, yen and pound are reserve currencies. Although Chinese people's currency has a great influence on the world, it still belongs to the common currency. The history of international economic development has proved that only when a currency has strong economic strength in the world, its value is stable and its dependence on foreign exchange reserves is very low. In the era of financial globalization, having a certain amount of foreign exchange reserves is an important guarantee for the stability of domestic currency value. But there is no price to pay for reserves.

Why do foreign exchange reserves have no cost?
First, to reserve foreign exchange is equivalent to having financial claims on the foreign currency held and saving for other countries. Second, if we want to increase the foreign exchange reserves, we need to increase the money supply, but if the reserves are excessive, it will increase the pressure of inflation and make the operation of monetary policy more difficult. Third, the excessive foreign exchange reserves will increase the trade friction, and there will be the risk of foreign exchange depreciation. The reason is why the United States has no foreign exchange reserves.

How do Chinese buy American funds? We can't buy American mutual funds.
1. At present, it is instinctive to buy American funds in China, because Chinese individuals have no open investment channels. But you can open an account in a bank in Hong Kong, and then purchase overseas funds by telephone or e-banking.
2. The investment currency must be foreign currency (mainly Hong Kong dollar, US dollar and Euro). Now China has opened the restrictions on individual free purchase of foreign exchange, so the funds can be transferred to overseas accounts.
3. If you can't open an account overseas, you can invest in U.S. funds through some intermediaries, but there are legal risks.

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