Whether a product is good or not must first be aimed at investors. If the positioning of the product deviates greatly from the investor's investment goal or risk tolerance and does not match, then the product is not a "good" product for the investor, that is to say, the product that others look good may not be suitable for you. Therefore, before choosing a product, investors must first find out what their needs and preferences are. So what kind of fund is a good fund?

What kind of fund is a good fund?

1 The comparison benchmark of products is very important. It is very important to compare benchmarks, scientifically classify and determine the trajectory of products. Only the competition on the same track is reasonable, and there is so-called good or bad.

2 Look at the future of the product. Whether the product is good or not depends not on the past but on the future. Whether a product is good or not depends essentially on its future performance, not its past. Theoretically, only after the fact can we know. History can be referenced, but it really does not represent the future.

It also depends on the subjective judgment of investors or evaluators, especially the judgment of the market. Whether the product is good or not depends not only on the demand and risk preference of investors, but also on the judgment of investors or evaluation institutions on the future market. No fund is suitable for everyone. Similarly, no fund is suitable for all market environments.

Product quality also has a time dimension. Considering the economic cycle and the periodicity of financial markets, the conclusions drawn in different time periods are not the same. Both the evaluation of historical performance and the return during the holding period after investment are related to the length of time.

In this regard, investors must first fully understand themselves, including their own needs, preferences and risk tolerance. Secondly, it is necessary to analyze the positioning and characteristics of the product. Then, we need to study, analyze and judge the market, including all kinds of subdivided assets and fields, and form our own judgment. Furthermore, the evaluation of products should be based on a reasonable comparison benchmark and a good trajectory, so as to find a relatively better product. Finally, the products with matching cycle can be selected from the time dimension.

We need to choose a good product and a good fund. On the one hand, we need to know ourselves, and we need to choose the right fund according to our own needs and preferences, and even some of our own opinions. At the same time, the research on funds must be more comprehensive, in-depth and accurate, and we must be cautious about historical performance.