According to statistics, increasing the holding time of funds can effectively improve the winning rate of fund investment, but in the actual trading process, many people understand this truth, but they just can't control their own hands. What can they do to make themselves insist on long-term investment?
In fact, we can choose closed-end funds to invest. Closed-end funds have a certain closed period, during which the redemption of funds is not allowed. The common holding-term funds and regular open-end funds in the market are more suitable investment varieties. The design of closed period or holding period can play the role of passive management to a certain extent, and investors can passively make long-term investments and keep their hands on day trading.
what advantages do these funds have compared with other common open-end funds?
The expected return is higher
According to the statistical results, in 219, the arithmetic average return of closed-end funds in the whole market was 44%, while that of ordinary open-end funds was 22%, and the yield was much higher than that of open-end funds. The closeness of closed-end funds is conducive to the stability of fund shares, and it is easier for fund managers to manage and create higher returns. Such funds sacrifice a certain amount of liquidity in exchange for higher returns.
Pay more attention to long-term returns
Compared with open-end funds, closed-end funds are more conducive to fund managers to make long-term investment strategies, which can smooth short-term market fluctuations and bring long-term performance returns under the action of time. There is no need to worry that investors will redeem the fund in large quantities because of performance fluctuation, which will cause great changes in the fund scale and affect the normal implementation of the strategy.
The principle of military ETF (transactional open index fund) is somewhat similar to cake. Index companies (recipes) build index models of different constituent stoc