Position refers to the ratio of the investor’s actual investment and actual investment funds. Let’s give an example: For example, if you have 100,000 yuan for investment and now use 40,000 yuan to buy funds or stocks, your position is 40%. If you buy all funds or stocks, your position is full. If you sell all funds and stocks, you will have a short position.

1. Stock position status

If the current market is relatively dangerous and may fall at any time, then you should not fill your position, because if the market falls, you may lose money by selling futures, but you I don’t have the money to buy futures, so I’m very passive. Usually, when the market is relatively dangerous, the position should be half or lower. In this way, if the market falls sharply and you find that the futures you hold have fallen to a very low price, you can buy them. When they rise, you can sell your original ones and make a profit on the price difference.

Generally speaking, positions should be kept in a half position at ordinary times, that is, a reserve army should be kept in case of unexpected events. Only when the market is very good can the position be fully filled in a short period of time.

2. Key points for position control

Positions and risks The "position" mentioned here is the most important factor in investment, but it is often ignored by retail investors. For investment experts, because they know that they may make mistakes at any time, they are good at controlling risks through positions. This includes the following three points:

First, no matter how confident and certain they are, they will not invest all their money in a single variety. From the perspective of avoiding unsystematic risks in the market, the limit position of a single stock generally does not exceed 20%. For investors with slightly larger funds (for example, more than 10 million yuan), the position limit for a single stock should be limited to 10%.

Second, when the market is unclear, low positions are involved. Once the market trend is clear, positions will either be cleared or filled. Investment experts have a keen sense of the market, but when the upward trend of the market is consistent with their own judgment, they dare to boldly move in and out of the market with full positions. When the downward trend of the market is consistent with your own judgment, you will clear your position in time and wait. When the market trend is inconsistent with your own judgment, you will use fewer positions to enter and exit to find the market feeling.

Third, it is easy not to cover the position, but to close the position in time. But when the market trend develops in the direction you expect, you dare to gradually increase your position.