Content Folder

Content Folder is the location where your text content will be stored. When you are creating a content type, a folder with the same name as content type has been created for you.  You can edit the folder or create a new folder. 

To create a new folder. 

Go to "Contents" -- "Contents". 

Click on "New folder" to create a new folder.  

Give your folder a name, and select the content type. 

One folder must have and can only have one content type. 

Relation folders

A folder can have relation with another folder.  There are two type of relations

Category folders: It can be one to many or many to many relations. Used in the scenario like blog belongs to category or book has authors. 

Embedded folders: Embedded folders contains content that only belong to current content item. Like a blog has a comment embedded folder. 

On above screen, click on "Relation Folders", open the relation folders editing screen and choose the related folder.