There are risks! ! ! With the stock market rising for more than a year, the yield of open-end stock funds reached 12 1.4% in 2006, which triggered investors to buy securities investment funds (hereinafter referred to as "funds"), and the fund scale and net asset value increased rapidly.

In the past two years, fund investors have earned a lot of money, and fund sales have also been on fire. However, risk, as the twin brother of income, investors have to consider. We Changsheng Fund Management Co., Ltd. raised funds twice in the fund market in the past few months. Changsheng CSI 100 Index Fund raised more than 4 billion yuan, and the fund Tongzhi was transformed into Changsheng Tongzhi Advantage Growth Fund, which raised more than 100 billion yuan during the centralized subscription period. From the company's point of view, both issues were successful. However, in the process of fund sales, we also found that investors have six tendencies that deserve attention and warning.

First, the investment tendency of past performance. Some fund investors, especially those who have just entered the fund market, although we keep reminding that "past performance cannot predict future performance", they still expect future investment income according to past fund investment performance. The two major objects of fund investment-stocks and bonds-have the characteristics of price fluctuation, especially the fluctuation of stock price. The fluctuation of stock price, fundamentally speaking, is a reflection of the future profit changes of listed companies. The rise and fall of the stock price is the result of investors changing the company's profit expectations. In addition to the macroeconomic situation and policy changes, there are also industry risks and business risks that affect the company's future profitability. Just like buying stocks can't just look at the earnings per share announced by listed companies, buying funds can't just look at past performance.

Second, short-term investment psychology. Some fund investors, especially those who have just entered the fund market recently, take the fact of buying funds in the past year to make money quickly, expect how much income they will get in the short term, and fantasize about getting rich quickly in the short term. As a public financial management tool, funds, especially partial stock funds, are first long-term investment tools, which are characterized by short-term volatility or variability and long-term sharing of economic and enterprise growth. The fluctuation of fund value comes from the price fluctuation of its investment object. For short-term and long-term, investors, especially new investors, are also quite confused. In financial theory, time is a very important concept, short-term usually refers to less than one year, three to five years is generally defined as medium-term, and more than five years can be called long-term. It is important to plan the financial plan from a relatively long-term perspective according to your future expenditure.

A related problem is that some investors use short-term funds to invest in equity funds. This behavior is not prominent in a bull market, but there will be many problems in a bear market. Short-term funds, from the perspective of safety and future short-term expenditure, are usually only suitable for investments in risk-free or low-risk areas, such as money market funds or other risk-free or low-risk financial management tools.

Third, their nested investment decisions. Some fund investors, inspired by the fund's past performance, especially the fund's hot money last year, have exhausted their savings and even borrowed money to invest in the fund regardless of possible future expenditures. Giving away your own money will not only affect normal family expenses, but also be difficult to cope with sudden demand. When the market falls, the investment mentality will also be greatly affected. Borrowing money to invest is even more aggressive, unless you are sure that an investment will have a stable income, and the investment income will exceed the full cost of borrowing money. However, the remarkable feature of the securities market is uncertainty, and it is only a myth to make a steady profit without losing money.

Fourth, the investment tendency with vague risks. Some investors are not clear about their risk tolerance and do not distinguish between different types of funds with different risks. There are also many investors who don't know what stock funds, hybrid funds and bond funds are. According to the legal definition, funds that invest in stocks between 60% and 95% are stock funds, and funds that invest in bonds at least 80% are bond funds. Funds that are neither stock nor bond funds are called hybrid funds.

. We often meet many veteran comrades who are also willing to hold risky stock funds. Generally speaking, stock funds are not suitable for older investors (although there are exceptions), and bond funds are more suitable for older investors because of their relatively low risk and return. Young and middle-aged people are different from the elderly in terms of income stability, future income expectation and risk tolerance, and are generally more suitable for holding stock funds.

In fact, it is easy to test investors' risk tolerance and risk attitude. We often say that "living within our means" is actually a question of risk tolerance. As for risk attitude, investors can easily understand the relationship among asset safety, liquidity convenience and profitability. Choosing asset safety means giving up better expected income, and favoring no-cost or low-cost liquidity also means lowering income requirements. By the way, the convenience of fund subscription and redemption does not mean that the liquidity must be good, because when the market falls, although redemption is generally convenient, there will be losses when cashing.

Fifth, the pursuit of dividend-paying investment preferences. Some fund investors simply treat fund dividends and blindly chase them up. In fact, fund dividends and dividends of listed companies are the same. When a listed company is rich in cash, there are no good investment projects in its industry or there are few development opportunities at present, according to the principle of dividend policy, the company will distribute the excess cash flow to shareholders as dividends. The same is true of fund dividends. When the fund manager expects the securities market to fluctuate irregularly, he tends to distribute the realized income to the fund holders, which is reasonable. If the trend of the securities market is expected to improve, the manager may not have to pay dividends. In this sense, the more dividends, the better.

Sixth, I like the investment psychology of low price. Like to buy low-priced stocks, like to buy 1 yuan or funds close to 1 yuan, is a psychology, that is, while hating high-priced securities (funds are also a kind of securities), they complain that "cheap goods are not good." This reflects the popular psychology of "acrophobia" and "quantitative illusion". "Fear of heights" is the mentality of being too expensive and afraid of falling, and "quantity illusion" is the psychological process of not wanting to be "small". Of course, we don't mean that a high price is good, but on the other hand, is a low price necessarily good?

From the perspective of investment, it doesn't really matter whether an asset is expensive or not. What matters is whether it has appreciation potential, and the appreciation potential of an asset depends on the expected future income generated by the asset (the future income or cash flow of a risky asset is uncertain). At this point, investing in commercial shops is the same. The difference between fund investment and commercial store investment is that the stocks and bonds held by the fund are easy to cash and easy to turn around when making mistakes, while the latter is not easy to quit when making mistakes.