The fixed investment of the fund can help people realize the income without spending too much energy. However, the fixed investment of the fund is not as simple as you think. Whether you make money depends on the fund you choose. Do you know which ones? The following is a small series of funds that are more suitable for beginners to buy, for reference only, and I hope to help everyone.
What fund is suitable for beginners to buy?
Index fund: An index fund is a passive fund that tracks the performance of a specific market index. Because of its relatively simple investment strategy, low cost and scattered risks, it is suitable for novice investors to get started.
Balanced fund: A balanced fund is a fund that combines different types of assets such as stocks and bonds. Its goal is to find a balance between return on investment and risk. Balanced funds can reduce risks and are suitable for novice investors to find investment options with stable returns and scattered risks.
Target date fund: target date fund, also known as life cycle fund, allocates assets according to investors' expected retirement years. The asset allocation ratio will be gradually adjusted over time to gradually reduce risks. Novice investors can choose the appropriate target date fund according to their retirement expectations.
What is the process of fund purchase?
Fund selection: according to your investment objectives, risk tolerance and investment preferences, choose the appropriate fund type and specific fund.
Opening an investment account: to open an investment account in a securities company or fund sales organization, you need to provide identity documents, bank card information, etc.
Fund preparation: transfer the funds that need to be invested into the investment account.
Fund purchase: select the fund to be purchased in the investment account and determine the purchase amount and share.
Transaction confirmation and settlement: after the subscription transaction is confirmed, the fund share will be included in the investment account, and the subscription amount will be deducted from the bank card or fund account.
The fund is suitable for long-term fixed investment
To buy a fund, some people may choose to hold the fund for a short time, while others will choose to hold the fund for a long time. Holding funds for a long time is actually the most appropriate way. Of course, this also needs to consider what kind of fund people choose. As long as people can choose a better fund, they will suggest holding it for a long time, and the income from holding the fund for a long time will be more stable, so there is no need to worry about the income. Long-term holding can also save money for investors. Because if investors buy and sell frequently in order to obtain interest spread income, it will increase the cost of subscription and redemption. More importantly, long-term investment can completely absorb the possible losses caused by short-term investment. Time can not only increase the stability of salary, but also effectively reduce market risk.
The fund is the target suitable for fixed investment.
1, broad-based index fund
The representatives of such funds are the famous index funds corresponding to CSI 300, CSI 500 (domestic) and NASDAQ 500 (foreign). It is characterized by a large number of stocks and a wide range, and many indexes are basically the representatives and incarnations of the whole stock market.
The yield trend of such funds basically follows the broader market, which is completely in line with our original intention of holding our thighs, so it is also the most basic type of fixed investment. Moreover, due to the huge number of constituent stocks, there is basically no large fluctuation due to the turmoil of a single stock, and the intraday fluctuation is relatively flat, leaving enough time for our trading operation.
2. Industry index funds
If you have a special understanding of an industry, know the business model and know how to judge the influence of an enterprise in the industry, then you can consider investing in an index fund focusing on this industry.
For example, if you are a doctor, you know the situation of various pharmaceutical companies in the industry, and you can know the color geometry at once. The fund that tracks the medicine 100 index may wish to consider it.
For ordinary investors who have no special knowledge of the industry, there is no need to worry about losing their information advantage and missing this opportunity. Basically, stock performance ultimately reflects the value of the company behind it. Therefore, if it is an industry that is very important to the whole society, even if the capital market is blinded by hot money in the short term, it will certainly be given a late justice in the future.
So we can look for index funds in these important industries. As long as society still needs the whole industry, investment can't be wrong. Specifically, basic consumer goods, medicines, household appliances and other basic industries involving food, clothing, housing, transportation, illness and death can all be considered.
3. Dividend index fund
The value investment masters represented by Benjamin Lu Graham and Jeremy Lu Siegel put forward the idea of guiding stock investment through the dividend yield of stocks. Because stocks will pay dividends, the annual dividend (that is, dividend) is the rate of return. Compared with other investment varieties, it is judged whether it is worth investing. This led to an idea. If all the stocks with high dividends are pooled to establish a portfolio, can we enjoy the benefits brought by dividends while the index rises?
The answer is yes, there are dividend index funds in the market, which will carry forward the idea of eating interest. Considering that it is essentially a combination of stocks, there will naturally be price fluctuations. You can consider gradually expanding your shareholding by means of fixed investment, and slow down the impact of short-term ups and downs while enjoying dividends.
Today, I will talk about the basis and selection method of fixed investment here. Everyone should always remember that a fixed investment will not make you get excess returns. It is only a long-term stable operation choice, not a panacea for investment.
4.ETF funds
ETF fund is the best choice for long-term investment. First, such funds have the highest positions, which can generally reach more than 95%. Secondly, the investment cost of this fund is relatively low. At present, the cost of investing in ETF funds is similar to that of stocks, which is about 10000 yuan or 3-5 yuan. For general OTC funds, the subscription fee is about 10000 yuan, about 100 yuan. The gap is still very big. So if you invest for a long time, you can invest through ETF funds.
What are the characteristics of long-term fixed investment?
1, average cost, risk diversification
It is difficult for ordinary investors to grasp the right investment opportunity in time, and they often buy at the high point of the market and sell at the low point of the market. However, with the fixed investment method, no matter how the market fluctuates, investors can invest in tokens on schedule for a fixed day every month, and the investment cost is relatively average.
2. Suitable for long-term investment
Because the regular quota comes into the market in batches, when the stock market is consolidating or falling, because the regular quota is undertaken in batches, you can buy more and cheaper, and the return on investment after the stock market rebounds is better than that of a single investment. For Bitcoin, in the long run, it should be an upward trend of stock market volatility, so regular quota is very suitable for long-term investment and financial planning.
3. Reduce financial pressure
Because the investment cycle is long, the amount of each period is relatively small, and the financial pressure is relatively small, which is very suitable for investors with great financial pressure.