1. Funds established for more than 3 years.
2. The same type of fund has the highest return in three years.
3. If the fund manager has not been changed, three conditions shall be met at the same time. In addition, it is best to sell directly through fund companies. If it is sold through a bank, the cost is too high.
Generally speaking, how to choose a fund suitable for investment among many funds can be investigated from the following aspects:
First, we can examine the cumulative net growth rate of the fund. Fund cumulative net growth rate = (cumulative net share-unit face value) ÷ unit face value. For example, if the cumulative net value of a fund share is 1. 18 yuan and the unit face value is 1.00 yuan, the cumulative net value growth rate of the fund is 18%.
Secondly, we can examine the dividend ratio of the fund. Fund dividend ratio = accumulated fund dividend amount ÷ fund face value. Take Rongtong Shenzhen Stock Exchange 100 Index Fund of Rongtong Fund Management Co., Ltd. as an example. Since its establishment in September, 2003, it has paid dividends for seven times, with the dividend ratio of 16%. Because one of the prerequisites for fund dividends is that it must have a certain profit, and it can realize dividends or even continue to pay dividends, which can reflect the ideal operation of the fund to a certain extent.
Third, the fund income can be compared with the market trend. If the performance of a fund is better than the market index in the same period most of the time, then it can be said that the management of this fund is relatively effective. If you choose this fund for regular fixed investment, the risk and return will reach an ideal matching state.
Fourth, the fund income can be compared with other funds of the same type. Generally speaking, different risks and different types of funds should be treated differently, and it is of little significance to directly compare the performance of different types of funds.
Finally, investors can also use the judgment of some professional companies to have a better measure of the management ability of fund managers.