Which funds are suitable for long-term holding:
1, broad-based index fund. Index funds are passive funds. They choose specific indicators as targets. Because index funds do not need fund managers to take the initiative to choose stocks, they also avoid some risks. For example, index funds related to SSE 50 and CSI 300 can be at least doubled if they are held for more than ten years.
2. Funds with weak industry cycle and no upper limit. For example, consumer funds. As the saying goes, "Food is the most important thing for the people", consumption is an industry that is just needed. Even if the market is bad occasionally, it can recover quickly. For example: drinks, food, etc. Related recommended funds are: E Fund's consumer industry stocks, Huitianfu consumption and other consumer funds are more suitable for long-term investment.
3. Industrial funds in line with national policies. For example, the artificial intelligence sector fund. Although this technology is not particularly mature at present, due to the strong support of the state, this kind of investment fund is becoming more and more popular and the income is getting higher and higher. Related recommendation funds include: South High-end Equipment and Changsheng High-end Equipment.
Which funds are not suitable for long-term holding:
1, a fund with strong periodicity. An obvious feature of a fund with strong periodicity is that its net value will rise or fall periodically, and then fall after a round of rise, so it is difficult to have a long-term upward trend. This kind of fund may have higher income than other funds when it rises, and it is a trough for a long time after the rising period, so it is not recommended to hold it for a long time. Such as gold or cement.
2. Funds with poor performance for a long time. The most basic conditions for holding funds for a long time are good performance and good income. Some funds even lose money, even if there is no loss, the net value of the fund has not changed for a long time, and it is difficult to have good returns. So first of all, we should rule out this kind, and don't buy it just because we are greedy for cheap.
3. Very small funds. If some funds are too small, it will always be a market problem, because when the net value of funds is very low or the number of investors is very small, they may be closed, and once they are closed, they may lose money, so they are not suitable for long-term holding.