How to select excellent fund managers?
1. Work background
The investment direction of fund managers is generally related to their work background, and investors need to examine these.
2. Length of service
Fund managers generally have about ten years' experience. Of course, some excellent fund managers have only a few years' experience. Experienced fund managers can calmly face extreme situations, and fund performance is relatively stable.
3. Fund performance
You can refer to the past performance of fund managers. Excellent fund managers can outperform the market in both bull and bear markets, seize opportunities in the bull market and control retreat in the bear market. Although the past performance may not predict the future performance, from the past performance of the fund manager, the performance of this fund will not be too bad.
4. Investment style
Before choosing a fund, you should know the investment style of the fund manager. If you prefer bond funds, you should choose a fund manager with a stable investment style. If you prefer stock funds, it depends on which stock the fund manager prefers. Some fund managers prefer blue chips, some fund managers prefer growth stocks, and some fund managers invest in blue chips and growth stocks in the first phase. This needs to be chosen according to your risk tolerance.
5. Scale of fund management
Generally speaking, fund managers with large fund management scale have excellent long-term performance and can win the favor of more investors. Fund managers with small management scale may not have the ability to resist risks as well as fund managers with large management scale.
To sum up, when choosing a fund, you should choose a fund type that suits your risk tolerance, and then choose an excellent fund manager to remind investors that the fund is risky and investment needs to be cautious.