When buying a fund, many people say they want to hold it for a long time, but only a few people can really hold it for a long time. Most people like to hold funds for a short time and want to make more money by holding funds for a short time. Can the fund make money in the short term? Today, Bian Xiao has compiled some fund-related knowledge for everyone. Let's have a look!
The fund can make money in the short term.
The fund can make money in the short term. To be a short-term fund, we must first have a general understanding of the redemption rate of the fund, because the holding time of the fund is related to the redemption rate. The selling rates of funds are generally divided into 0~7 days, 7~365 days, 365~730 days and more than 730 days. The longer you hold it, the lower the selling rate will be, depending on the specific situation of each fund.
Therefore, short-term holding of funds is generally not recommended within seven days, and the redemption rate is relatively high, so you can choose 7 to 365 days. When you want to make money in short-term funds, you usually need to invest more money in a short time. If the fund type is high-risk, you will earn more money. But it is worth noting that if the fund market is not good, you will lose the principal, and the risks and benefits are the same.
Generally speaking, funds are more suitable for long-term holding, but if you are an experienced master and know more about funds, it is ok to buy short-term funds. If you are a novice fund, it is generally not recommended to play short-term funds, because the short-term holding of funds fluctuates greatly, and long-term holding can average the risk.
How to choose a good fund?
Fund unpopular or popular, according to the situation of the fund to analyze, because considering the situation of each fund will be different, if you want to explain the way you look at it.
Hot funds are popular because of better returns. If we consider hot funds, we should analyze whether there is room for growth and whether this fund is already at a high level. You can refer to the past historical performance. Although the past performance does not represent the future, it will still have certain reference significance.
There must be a reason why the unpopular fund is unpopular. It may be because the fund has fallen more recently, or it may be that the fund has fallen more for a long time. When looking at the fund, we should analyze it from a long-term perspective, not limited to the present.
First of all, it depends on the situation of the fund since its establishment or in recent years. If this unpopular fund has been brilliant, but the market is relatively poor recently, it can be considered when the follow-up fund begins to rebound, because the fund is in a relatively low position at this time.
Then, if this unpopular fund has been falling for a long time, rising less and its performance has been very poor, even if the fund is currently at a low level, it is not recommended to buy it, because it is likely to be a bottomless pit, unless investors are optimistic about the fund, then they can consider it. After all, the future of the fund is unpredictable and ups and downs are possible.
Can funds make money by buying hot items?
Funds buying hot items may not make money. When buying a fund, we should rationally analyze the fund, not just buy a hot fund. First, it depends on the future prospects of the fund. Second, it depends on past performance, fund manager, fund scale, Morningstar classification and so on to choose a good fund to hold for a long time.
In addition, it is worth noting that buying hot funds is risky, because hot funds are generally funds with relatively high recent gains. If the layout is not good, when buying at the highest point of the fund, it is likely to be stuck.
Assuming that the fund continues to fall, then investors will lose money, so generally buying popular funds requires understanding of the fund, and experienced people are suitable for buying.
It is not easy to make money by buying popular funds, because all funds are risky and there is no guarantee of principal and interest. You need to know something before buying. If you buy without knowing anything, you are likely to lose money.
When buying a fund, you can accumulate experience with a small amount of money first. Usually, we should pay more attention to the knowledge of the fund, learn more, and fully understand the fund before making a purchase, which will increase the probability of the fund making money.