Because investors have different risk ratings, the risks of products will also be different. Stocks, futures, foreign exchange and other markets are not suitable for prudent investors due to their high risk coefficients. Moreover, many investors do not have time to read and follow the market due to work, so they also choose to invest in fund products. So how can a novice buy a fund with zero foundation?

1. Most investors in the investment fund market are prudent investors, but when purchasing funds, they will also give investors a risk rating. It depends on whether the investor is a prudent investor, a conservative investor, or an aggressive investor.

2. After risk rating, select suitable fund products based on investors’ risk preferences. Aggressive investors can choose stock funds, preference investors can choose hybrid and bond funds, and conservative investors can choose currency funds.

3. Choose a fund company with relatively good scale and performance, refer to the fund company’s previous performance, and also look at the fund manager’s age requirements and past performance.

4. Understand the documents, investment directions and concepts of fund products, and know how to subscribe, custody, redeem, buy and sell and other operating principles.

5. Determine the investment cycle, whether to choose the medium-term, short-term or medium- to long-term direction.

When investors consider buying fund products, they must first conduct a risk rating and have a certain understanding of the fund type. Investments are risky, and the risks of fund products are relatively small.