There are two indicators to measure the rate of return of money funds, 7-day annualized rate of return and extremely high return. Ten thousand copies of income refers to how much money you can earn every time you buy 65438+ ten thousand funds. Since the net value of the money fund is 1 yuan, this indicator means how much money you can earn 1 day if you spend 1 ,000 yuan on this fund. 7-day annualized rate of return refers to the annualized rate of return calculated by averaging the recent 7-day rates of return. To put it simply, assuming that the fund earns as much money every week as it did in the last seven days, how much income the total * * * will generate after one year is called the seven-day annualized rate of return. Similarly, 14 annualized rate of return means that if the fund earns as much money every two weeks as it did in the last 14 days, what is the rate of return after one year. In fact, the so-called X-day annualized rate of return is actually a relative data, which is based on assumptions and the rate of return inferred from past performance.
Because the money fund's income is relatively stable, compared with the stock fund, the 7-day annualized income of the money fund is an indicator based on historical income, but it is still a very valuable indicator. Under the same circumstances, the high annualized rate of return is preferred.
2) Look at the size of the fund
Give priority to monetary funds with moderate scale. Many people think that the bigger the money fund, the better. This is a misunderstanding. Monetary funds often use one-on-one price negotiation. If a fund is too small to negotiate with the bank, there is no way to get a good interest rate. However, due to the price effect of the market, the natural market price rises when a large amount of funds are bought, which violates the principle of bargain hunting at a low price.
Excellent fund managers generally don't operate funds on too large or too small a scale, because if the amount of funds is small, they can't take the initiative in the trading process, and if the amount of funds is large, the position adjustment is not flexible. Therefore, the second principle of choosing a cargo base is to choose a medium-sized money fund of 654.38+0 billion to 50 billion.
3) Choose a money fund with a high proportion of retail investors.
When ordinary people buy money funds, the most important thing is liquidity, that is, the ability to realize cash at any time. What kind of money fund is safer? A common misunderstanding is that we follow the organization. Generally speaking, many large organizations are buying this cargo base, so this cargo base must be very powerful. In fact, under normal circumstances, our retail investors are not very sensitive to changes in market interest rates, while institutions are particularly sensitive to the tension of funds. "Yang Ma" puts a little water, and when there is more money in the market, she starts to buy in large quantities. And if the market is a little trouble these days and the funds are a little tight, redeem it immediately. Generally speaking, the holders of money funds follow the law of "birds of a feather flock together"-institutions cluster with institutions, and retail investors cluster with retail investors.
The frequent purchase and redemption of institutional goods and such a large amount of funds will have a great impact on the overall security and liquidity of the money fund. To judge whether a fund is a retail investor, it is enough to study its holder structure, and the specific operation can be inquired through the relevant fund websites. If the proportion of retail investors in money funds reaches over 70%, its liquidity risk is very low, and the liquidity principle should try to choose funds with retail investors exceeding 60%.
4) Choose those that have been established for a long time.
The fund industry relies heavily on fund managers. The older the money fund, the more popular it is. Old funds are generally mature in operation, with certain investment experience and battlefield experience, strong adaptability and many high-yield varieties. It is a wise choice to choose a money fund with a long history and relatively stable performance. The long time of establishment also indirectly shows the recognition of consumers. Only products that can stand the test of time are good products, and funds are no exception.
5) see if it is a or B.
When choosing a monetary fund, you will generally see XX currency A and XX currency B appear in pairs. What's the difference between funds A and B? The main difference between the two is the investment threshold. Generally, the initial investment amount of A-level funds is low, and the initial investment threshold of A-level funds is 10 yuan and 100 yuan, while the initial investment amount of B-level funds is high, mostly more than one million yuan.
With the diversified reform of the money fund market, some C-type funds have appeared. The reason is similar, but the investment threshold is further subdivided. Retail investors only need to choose the one that suits them according to their actual situation. From the perspective of income, the income with high threshold is higher than that with low threshold. After all, if the liquidity of a high threshold is similar, the risk is higher, and it is reasonable for high risk to correspond to high income.