To give a very simple example, Alibaba and Tencent are both stocks held by funds. For example, Apple, Amazon and Microsoft, which are listed in the United States, are also heavily held by American mutual funds. Why can't these companies invest? In fact, these companies have brought huge returns to investors in the past few years and decades, and some even brought hundreds or thousands of times of returns.
So I don't think the stocks with heavy positions in the fund can't be invested. Of course, the topic is "speculation" rather than investment. In a narrow sense, it makes sense. The so-called speculation is speculation, but in fact, every investor is saying that stock trading is to open an account and invest in the stock market. It is not necessarily hype, but everyone has turned investment in the stock market into speculation.
What is the starting point that the stocks with heavy positions in the fund cannot be speculated?
Very simply, the stocks with heavy fund positions generally meet two conditions. First, it is either a large-cap stock or a heavyweight stock, such as constituent stocks of various indexes. Second, they have excellent fundamentals. When allocating funds, they need to choose companies with excellent fundamentals, so they will focus on white horse stocks with excellent performance. We can see from any loss-making ST shares that shareholders have little money.
In China stock market, most investors are disgusted with blue-chip stocks. This has something to do with China's need to wait for the original large-cap stocks to catch up with many people, and it also has something to do with China investors' short-term speculation in pursuit of quick payment.
Everyone will think that blue-chip stocks are too big to speculate, and they prefer to chase small-cap stocks. For example, some stocks that hot money often participates in are also unpopular stocks and problem stocks held by few funds. This makes a part of the so-called unpopular dark horse shares have a skyrocketing money-making effect, which makes many investors think that it is necessary to speculate on such stocks in order to make a lot of money.
Actually, this kind of thinking is wrong. There are many logical drivers for the rise and fall of the stock market, such as the continuous growth of performance, such as the abundance of liquidity, such as the popularity of themes. See which one you choose, and use logic to guide your investment transactions.
For example, Kweichow Moutai, Gree Electric, Pien Tze Huang, Hengrui Pharma and other stocks were all held by the fund in the past, so those who invested in these stocks suffered? On the contrary, the market is only 3000 points now, but when you look back, the share prices of these stocks are many times higher than when the market was 6000 points.
Therefore, it is wrong to think that stocks with heavy positions in the fund must not be invested, which is suitable for some investors who like to make quick money with hot money.