Investment funds should not only choose the right fund, but also choose the right trading opportunity, sometimes the latter is even more important than the former. Because most funds make money by the bid-ask price difference, if you can grasp the right trading opportunity of the fund, it is equivalent to mastering the password of making money from investment funds. The following are the fund buying skills compiled by Bian Xiao. I hope you like them.
What are the buying skills of funds?
Fixed investment strategy: through regular fixed investment, we can gradually establish investment positions, buy funds at an average price, and reduce the impact of market fluctuations on investment.
Diversification: Diverse funds to different fund categories or targets to achieve risk diversification and return balance of the portfolio.
Know the fund manager: study the background and experience of the fund manager, understand his investment style and strategy, and choose a fund managed by an experienced fund manager with stable performance.
Observe the fund size: pay attention to the fund size. Larger funds usually mean better liquidity and management ability. Smaller funds may face the risk of redemption restrictions or insufficient investment flexibility.
Consider the cost factor: pay attention to the management cost, sales cost and custody cost of the fund, and choose the fund with reasonable rate to avoid the burden of high cost on investment income.
How to make a profit by selling funds?
Fund unit net value appreciation: if the net value of the fund unit held at the time of selling is higher than that at the time of buying, it will be profitable. For example, the net value of the fund unit is 10 yuan when buying, 12 yuan when selling, and the profit is 12- 10 = 2 yuan.
Dividend income: Some foundations pay dividends regularly or irregularly, that is, return the interest, dividends and bonuses obtained by the fund to the holders in a certain proportion. Investors who hold funds can get extra income through dividend income.
When is the best time to buy and sell funds?
The best time to buy and sell funds is a complex issue, which depends on your investment objectives, investment time and market conditions. Here are some common strategies and principles for your reference:
The most appropriate time to buy a fund:
Long-term investment: funds are usually suitable for long-term investment, so the best time is to start as soon as possible. Long-term investment can help you benefit from the long-term growth of the market and spread the risk of market fluctuation through time.
Diversified investment: When purchasing funds, it is recommended to diversify the funds into different types of funds and different asset classes, such as stock funds, bond funds and hybrid funds. This can reduce the risk of portfolio and achieve a better balance under different market conditions.
Market valuation: Observe the valuation of the fund, including the difference between the fund price and its net asset value (NAV). When buying a fund, you can consider choosing a fund with reasonable valuation.
Regular fixed investment: Through regular fixed investment and regular monthly or quarterly investment, the average investment strategy can be adopted to reduce the impact of market fluctuation on investment. Regular fixed investment can also help you form a long-term investment habit.
The best time to sell the fund:
Achieve your investment goals: If you have achieved your investment goals, such as the expected return on investment or meeting specific financial needs, now may be the right time to sell the fund.
Asset redistribution: It is an important strategy to regularly evaluate the portfolio and redistribute assets. If the proportion of some funds in the portfolio is too high, or the investment strategy is no longer applicable due to changes in the market environment, it may be necessary to sell some funds to rebalance the portfolio.
Profit protection: If a fund has made considerable profits, and you think the market may fall or be unfavorable, you can consider selling some or all of the funds to protect the profits.
Poor fund performance: If a fund has poor long-term performance, fails to meet your expectations or is inconsistent with the market, you can consider selling it and looking for more potential investment opportunities.
Please note that these suggestions are general and not applicable to all situations.
The best time to buy and sell funds
The most suitable time for fund trading is determined by many factors. Here are some factors that might help:
Investment objectives: Investors should first consider their own investment objectives, and whether the selected fund type conforms to their own risk preferences and long-term investment plans.
Market environment: The correct analysis and judgment of macroeconomic trends and market conditions will help to predict the ups and downs of the market, so as to buy or sell funds at the right time.
Fund performance: Understanding the recent and historical performance of the fund and evaluating whether you agree with the investment strategy and management team of the fund is an important reference for buying or holding positions.
Capital status: according to its own financial status and demand, rationally plan capital allocation and dynamic balance to ensure good liquidity and risk control.
Fluctuation risk: stock funds generally have certain fluctuation risk. In order to better control market fluctuations and capture high-quality assets, we should prepare corresponding risk-taking ability and tolerance.
It should be emphasized that the appropriate timing of fund trading varies according to market conditions, personal investment objectives and risk tolerance. , and need to be flexible according to the actual situation, appropriate risk management and balanced asset allocation.
Factors involved in buying and selling funds
The best time to buy and sell funds depends on many factors, including your investment objectives, risk tolerance, market conditions and fund performance. Here are some common strategies and principles for your reference:
The best time to buy a fund:
Long-term investment: funds are usually suitable for long-term investment, so the best time is to start as soon as possible. Long-term investment can benefit you from the long-term growth of the market and spread the risk of market fluctuation through time.
Regular fixed investment: adopt a regular fixed investment strategy and invest a certain amount on a monthly or quarterly basis. This method can help you average the purchase price and reduce the impact of market fluctuations on investment.