What does the bargain-hunting fund mean? Why is this fund also likely to explode? Perhaps many people know something about the explosion of bargain-hunting funds, but Bian Xiao has sorted out the crude oil exploded by bargain-hunting funds for everyone, and I hope you like it.
Bottom fund explodes crude oil
A bargain-hunting fund refers to an investment fund that buys stocks, bonds, commodities and other assets at a low price when the market price drops sharply or hits a historical low. Its investment strategy is to find undervalued assets with potential investment value and bring them into the portfolio.
Bottom-hunting funds usually take the view of long-term investment, thinking that the decline in market prices is temporary and expecting to get good returns in the future. The bargain-hunting fund buys undervalued assets by bargain-hunting and realizes capital appreciation when the market rebounds and warms up.
But bargain-hunting funds are risky. First of all, the market may further decline or be in a long-term downward trend, leading to an increase in fund investment losses. Secondly, it is difficult to judge when the market bottoms out, so there may be a risk of misjudgment. In addition, individual investment targets may face specific risks, such as poor company management and poor industry prospects.
I don't know the specific situation of "the bottom-hunting fund explodes crude oil". Short position of funds usually means that investment funds suffer huge losses or even cannot continue to operate because of poor profitability and improper investment risk control. However, the specific situation may be different due to the fund's investment strategy, risk management and market conditions.
What does fund bargain-hunting mean?
Fund bargain-hunting refers to the behavior that investors believe that the net value of funds will not continue to fall after a long-term decline. Once the bargain-hunting is successful, they will get rich returns. On the contrary, if you fail to copy the bottom, you will be trapped halfway up the mountain.
Investors can bargain-hunting according to the following factors:
1. Buy according to the market conditions of the fund, that is, when the market conditions start to rebound after a long-term decline, investors can choose bargain-hunting operation.
2. The trend of the fund is influenced by the theme of the fund to a certain extent, that is, when the theme of the fund rises, it will drive the fund to rise, and when the theme of the fund falls, it will lead to the decline of the fund. Therefore, investors can choose bargain-hunting when the fund theme ends the downward trend and starts the upward trend.
At the same time, investors should reasonably control their positions when they bargain-hunting, and it is best to buy them in batches, and never buy them all, leaving enough positions to deal with the risks brought by the fund's later trend.
Types of funds making investment decisions
Quantitative fund is a kind of fund that uses mathematical model and computer technology to make investment decisions.
This kind of fund can help investors make more scientific and objective investment decisions, improve investment returns and reduce risks. Because the investment process of quantitative fund is more transparent and standardized, it can effectively avoid the problems of information asymmetry and moral hazard that may exist in traditional fund investment, and further improve the trust and investment participation of investors.
In addition, quantitative funds are also promoting the transformation and upgrading of the entire fund industry and accelerating the process of digitalization and technology in the industry. More and more investment institutions begin to pay attention to the application of data analysis and quantitative models, trying to find more scientific and effective investment strategies and methods. This also provides investors with more investment choices and opportunities, and also promotes the innovation and development of the industry.
It should be noted that when choosing quantitative funds, investors need to understand the investment strategy and operation mode of the fund, pay attention to the risks and restrictions of the fund, rationally diversify the investment portfolio, and realize long-term investment goals and values. In addition, investors should avoid over-reliance on quantitative models and computer programs, maintain a rational and steady investment attitude, and actively monitor market changes and risk control measures.
In a word, quantitative fund is a kind of fund type that makes investment decisions based on data analysis and quantitative model, which has the characteristics of science, objectivity, transparency and standardization. Investors can choose their own quantitative funds according to their investment needs and risk tolerance, and realize long-term investment income and value-added.
Is the fund completely lost?
Short positions are not all losses. Under normal circumstances, the formal platform will only force a part of the liquidation to make up the deposit. When the market changes too much, the margin in the investor's account is occupied. If the investor's trading direction is opposite to the market trend at this time, it is easy to explode the position under the amplification of leverage. Therefore, investors need to be cautious when operating. Once they receive the relevant notification call, don't refuse, make up the deposit in time to avoid losses.
Which dividend distribution method is better for the fund?
There are two main ways of fund dividend: cash dividend and dividend reinvestment. Different investors have different investment needs, so the appropriate dividend distribution methods are different:
1, cash dividend. Cash dividend refers to the direct payment of the fund to investors in the form of cash when the fund pays dividends, so that the investors' income can be preserved. Cash dividends can lock in some fund income for investors while keeping the existing fund share unchanged, so that investors can redeem certain investment income without paying redemption fees. Investors who are not optimistic about the fund's follow-up trend or just want to obtain stable income are better to choose cash dividends.
2. Dividend reinvestment. Dividend reinvestment means that when the fund pays dividends, it directly buys the fund to be distributed to investors according to the new net value of the fund, so as to increase the fund share held by the basic people. Investors can reinvest in the share of the fund through dividends without paying subscription fees. Investors who have good expectations for the follow-up trend of the fund or intend to hold the fund for a long time, it is best to choose this dividend method.
After the fund pays dividends, the net value of the fund will fall, and the specific extent of the decline is determined by the dividends of each fund share. However, as an indicator to measure the fund's investment performance, the accumulated net value of the fund will not be reduced because of the fund's dividends. Fund dividends are just one of the means for fund managers to adjust their positions and lighten their positions. Whether it is the funds obtained from dividends or the fund shares obtained from reinvestment after dividends, they are investors' own book assets and will not harm the interests of investors.
Buying fund skills
There are certain risks in buying funds through financial management, but there are many types of funds, and different types of funds face different risks after purchase. When purchasing a fund, users can choose the type of fund according to their risk-taking ability, such as common fund types: money fund, bond fund, mixed fund and stock fund.
The greater the risk users face when buying a fund, the more income the fund will get later. However, venture funds may lose their principal. It is best for users to use their own spare money to buy funds, so as not to affect their normal lives after losses, and they can't borrow money to buy funds.
Users generally choose positions with low net fund value when buying funds, so that they can get good returns after the net fund value rises in the later period. If you buy in a position with high fund net value, there will be losses after the subsequent fund net value falls. In order to avoid this situation, you should check the recent trend of the fund before buying.
When users invest in funds, it is best to use the method of fixed investment. Investing in the fund in this way can effectively reduce the holding cost of the fund, and users can get good returns after the fund rises. However, it takes a long time to buy funds with funds, and it is difficult to make profits in the short term.
Users can choose different channels when purchasing funds, such as banks, fund companies and third-party platforms. Users can choose the purchase channel according to their actual situation. When choosing a fund, you will generally choose a fund that has been listed for a long time. Such a fund has been running for several years, and investors can check the past performance.