This kind of fund is a graded fund product based on indexed investment. The graded shares include a leverage mechanism. When the market rises, there is an opportunity to obtain investment returns that exceed the index. It is an innovative variety of index funds. .

Index tiered fund operation strategy

Index tiered funds have diversified investment strategies. Not only the unique tiered structure design can provide different investment strategies for investors with different risk tolerances, Moreover, investors can also derive more investment strategies through transactions between shares at all levels.

At present, index grading funds have three mainstream operating strategies, including long-term holding, swing operation and arbitrage trading.

In addition to long-term holding, the most mainstream investment method of index tiered funds is to invest in different shares in turns and operate in bands.

Compared with the previous two types of operating strategies, arbitrage trading of hierarchical funds is much more complex and has derived many different investment methods.

Specifically, arbitrage trading can be divided into six main types, including discount and premium arbitrage, stock index futures hedging risk arbitrage, risk-free (holding a bottom position to hedge risks) discount and premium arbitrage, and combined margin trading and securities lending arbitrage. , combine ETF arbitrage and futures arbitrage.

Extended information

Investment Notes

1. Premium rate

The change in fund price is mainly based on its net value. As long as the fund’s If the net value is increasing, its price will rise. The ratio of the fund price to the fund's net value is called the premium rate. This premium rate needs to be paid attention to.

2. Look at the trend of index tiered funds

Now there are many index funds, such as Shenzhen Component Index, Small and Medium Enterprises Index, GEM Index, 50 Index, 300 Index, and CSI 100 Index and so on. Since the constituent stocks included in the index will be different, you need to pay more attention to the selection of index funds.

For example, the trend of blue-chip heavyweight stocks has been relatively strong so far in this round of market conditions, so the corresponding tiered funds have increased more. If the trend of small and medium-cap stocks is relatively strong like in the previous wave of market conditions, the corresponding tiered funds will have a larger increase.

3. Fund liquidity and term

After all, funds are not the main investment objects, so the liquidity of many funds is seriously insufficient. It will not be held for a long time, so liquidity must be considered, especially for large investors.

Baidu Encyclopedia - Index Graded Fund