If you want to invest in a fund, you must first know what a fund is. We may not understand some professional explanations, so let's put them in a popular way.

We know that investment products include stocks, bonds and other securities, but in essence, funds are a basket of stocks or bonds and other securities. In other words, we don't know much about investment, so we hand over the funds to more professional fund managers. Knowing the essence of the fund, we also know the principle of the fund's rise and fall.

Let's take the Shanghai and Shenzhen 300 Fund as an example. It consists of 300 stocks with large market value and good liquidity in Shanghai and Shenzhen stock markets. At present, the fund manager who manages the fund is Liu Jun. In front of 300 stocks as a whole, our fund has gone up.

Knowing the types of funds, you will know the general investment direction.

According to the understanding of funds, there are different types of funds because funds can invest in various other products. We commonly have stock funds, bond funds and hybrid funds, as well as money funds and investment funds, that is, FOF funds.

Different types of funds have different risks. Generally speaking, venture capital is monetary capital. In addition, according to the different trading channels of funds, funds can be divided into OTC funds and OTC funds. The transaction cost in the general market will be lower. OTC funds are purchased through platforms such as Alipay, Bank and Tian Tian Fund. The trading system is T+ 1, and OTC funds are T+0. We can directly use the stock account to trade in the secondary market.

Knowing the rules of fund trading can reduce the cost.

If you want to buy a fund for financial management, you must understand the trading rules of the fund, which many people will ignore. It is not advisable to start buying when you find a good fund. Familiar with the rules of fund trading and the collection of various fees, you will find some tips to save costs and get more benefits in trading.

I won't say much about the time of fund trading here. Mainly depends on what we don't know. Since bond funds and monetary funds can also earn profits during the closing period after confirming their shares, and OTC funds adopt the trading mechanism of T+ 1, we'd better make a subscription before 15 on Saturday and Sunday or two days before the closing of holidays, otherwise the profits during the closing period will be lost.

In addition, fund conversion is also a common trick, which is equivalent to selling a fund and buying b fund at the same time. During the fund conversion period, the income will be calculated, and there will be no blank period and no interruption. Moreover, compared with normal redemption and re-subscription, fund conversion does not need to pay subscription and redemption fees, and the conversion rate is lower, which can reduce investment costs. Generally speaking, it saves time and money.

In short, we buy funds for financial management, so before investing in funds, all the above contents are what we need to know, which lays the foundation for us to choose a good fund.