One is to know your own investment needs. Investors should know how much money they want to invest, how long they can invest, what risks they can bear and what rate of return they hope to achieve. The money that investors use to buy funds should be their own idle money, so that the burden is less, and they will not bear the double pressure of paying interest and possibly damaging the principal because of borrowing money. Even if the temporary performance of the fund is not ideal, it will not be too anxious and will not lose money because it is eager to repay the loan.
The second is to choose the right time to invest. Generally speaking, when the market is relatively depressed, the net value of the fund is relatively low, the future rate of return may be relatively high, and the market risk is small, which is suitable for investment.
The third is to maintain a good attitude. When buying and selling funds, investors should not only face the pain of the decline in the net value of funds, but also enjoy the happiness in the rise of the net value of funds. Don't be discouraged when losing money, and don't be overly excited when making money. The key is to learn to control emotions, adjust mentality and achieve sustainable development. In fact, sometimes away from the market, you will see more rules.
Fourth, we should choose the right fund varieties. Investors should adopt different types of funds in different periods. When the market is in a downturn, the investment ratio of equity funds can be increased; When the market is consolidating, you may wish to invest more in some hybrid funds; When the market is at a high level and the risk is high, you can sell stock funds and invest in money funds or short-term bond funds to avoid risks. Of course, the simplest operation is to invest in index funds and money funds in rotation, buy index funds when the market is relatively low, and convert index funds into money funds for hedging when the market is relatively high.