(1) At the end of the bear market, when the market position is relatively low, investors can make a fixed investment in stock funds, which is relatively less risky and has higher returns.
(2) When the market is in a slow state, investors can make a fixed investment in the fund, but when the market is in a bull market, investors' one-time purchase is more profitable than fixed investment.
(3) When the valuation of fund stocks is low, investors can make fixed investment, while those with higher valuation are not suitable for fixed investment.
(4) For some funds with great potential, investors can make a fixed investment in the fund when the decline is large. It can not only share the cost, reduce the losses caused by the further decline of the fund, but also enjoy the benefits brought by the rise of the fund. When the fund trend shows a smile curve, it is better to make a fixed investment than to buy it at one time. In the process of unilateral rise of funds, one-time buying is often more profitable than the fixed investment of funds.
The characteristics of the fund's fixed investment:
(1) Average cost spreads risks: it is difficult for ordinary investors to grasp the right investment opportunity in time, and they may often buy at market highs and sell at market lows. However, the fixed investment mode of the fund is adopted. No matter how the market fluctuates, the fixed investment fund will be fixed for one day every month, and the bank will automatically deduct the money, and automatically calculate the number of fund shares that can be purchased according to the net value of the fund. In this way, investors buy funds on schedule, and the investment cost is relatively average.
(2) Suitable for long-term investment: because the fixed quota comes into the market in batches, when the stock market is consolidating or falling, because the fixed quota is undertaken in batches, you can buy more and buy cheaper, and the return on investment after the stock market rebounds is better than that of a single investment. For the China stock market, it should be a volatile upward trend in the long run, so regular quota is very suitable for long-term investment and financial planning.
(3) It is more suitable for investing in emerging markets and small equity funds: investing in emerging markets or small equity overseas funds with large fluctuations in performance in the medium and long term. Because the stock market callback time is generally long and slow, but the stock market with a long rise time rises rapidly, investors can often accumulate more fund shares when the stock market falls, so as to obtain better return on investment when the stock market rebounds.
(4) Automatic deduction, with simple procedures: regular fixed-term investment funds only need investors to go through one-time procedures at the fund agency, and then automatically deduct subscriptions for each period, usually on a monthly basis, but there are also other time limits such as semi-monthly and quarterly as regular units. In contrast, buying a fund by yourself requires investors to go through the formalities in person at the agency every time. Therefore, the fixed investment fund is also called "lazy financial management", which fully embodies its convenient characteristics.
Suitable for people:
(1) Suitable for office workers with fixed salary. After deducting daily expenses, people with fixed income often have a surplus. At this time, a small amount of fixed investment is the most appropriate.
(2) people who are busy with work and have no time to manage money. The fund can invest automatically for a long time with a fixed investment.
(3) Steady people don't like to take excessive investment risks. The fixed investment of the fund can stabilize the cost, reduce the risk of price fluctuation and improve the profit opportunity.