Some investors find that their funds have fallen sharply and sell them directly. In fact, this decision is a bit thoughtless. What if the funds go up later? Isn't that a missed profit? Therefore, whether to buy or redeem when the fund falls sharply depends on the actual situation.

Should the fund buy or redeem when it falls sharply?

The fund may rise sharply after the plunge, but it also depends on the reasons. If the stock market plummets, the fund will also plummet. If the stock market turns around and the stock market rises sharply, the fund will also rise sharply, mainly depending on what stocks the fund invests in.

Generally speaking, funds go up and down. If it keeps falling, the income is not good, and if it falls to a certain extent, it will be closed. Therefore, when the fund has fallen for a period of time or has fallen sharply, the fund manager will generally make a callback. If the fund itself is good and the fund manager is better, it may still rise sharply in the later period, and investors can consider adding positions. If the fund itself is not good enough and its long-term performance is not ideal, then investors can consider redemption.

The following are several situations that are suitable for jiacang:

1, the total position is not high at present. If your total position is below 50%, the effect of covering the position will be more obvious. On the other hand, the heavier the position, the weaker the cover position. Once the total position exceeds 80%, the actual effect of covering the position is minimal. Therefore, it is not recommended for investors whose total positions exceed 80% to cover their positions.

2. Do you believe that the long-term trend of the future market will fluctuate upwards, or do you believe that the sector you invest in is an excellent track, and you can hold it for a long time and give it time.

3. The fund you hold or the investment target of your jiacang is good, so as to seize the opportunity of subsequent market rise.

The stock market itself will experience a period of retracement, so it is common for funds to plummet. If investors' funds are of high quality, then these funds have the potential to rise. It is suggested that investors can invest by fixed investment, which can share the cost and reduce the risk, and the income will be ideal. At the same time, the fixed investment should be prepared to take profit and prevent the income from continuing to lose money.

Finally, remind investors that the fund is risky and investment needs to be cautious.