202 1 what fund should I buy at the end of the year?
1. Don't just look at short-term rankings when buying funds.
Many novices buy funds for the first time, probably starting from the leaderboard. On various websites, look at the rise and fall of net worth in the past year, and allin will be the first one. However, the past performance of the Fund cannot predict its future performance, and the performance of other funds managed by the Fund Manager does not constitute a guarantee for the performance of the Fund.
There has always been a saying that "don't buy the fund on the front page", because if you are misled by the fund ranking, it is easy to "stand guard" when buying in the hot stage. The ranking of short-term performance changes greatly in a year or so, which cannot fully reflect the long-term investment ability of fund managers, especially in this extremely divided market this year. Partial stock funds tend to be more cautious when the stage returns are higher, and the market always has ups and downs. Take it for a long time, believe in the power of time, and wait for the flowers to bloom in the fluctuation.
2. Don't blindly chase hot spots and buy new ones frequently.
In recent years, the overall profit-making effect of the stock market is remarkable, either with a good structural market or a large number of funds with excellent performance, and the outbreak of new funds frequently ignites hot topics. Under the enthusiasm of investors, they are worried about missing the opportunity to "get on the bus" and can't help but go to the new fund. However, any craze is time-limited, and the annual ranking of industry growth is irregular. From large-scale assets to market style, no single asset can continue to win. The benefits of a booming market mainly come from taking the lead through in-depth research, rather than relying on "chasing". Frequently chasing hot spots, changing funds, the cost is not low, and there is no blind chasing hot spots based on analysis and research. It is better to choose a track with good long-term prospects and entrust it to your trusted fund manager.
3. Don't just look at the net value of the fund unit when buying a fund.
Many novices buy the basics with the usual thinking of buying food to see which net worth is low, and think that the low price is easier to rise and earn more. In fact, it is also a misunderstanding to buy funds with this habitual thinking. As a portfolio, the net value of the fund depends on the overall value of assets such as stocks and bonds. Generally speaking, the accumulated net value of the fund is mainly related to these two points:
Investment operation: the better the fund investment management operation ability, the higher the fund net value;
Time of establishment: The longer the fund operates, the higher its net worth may be.
If the active management ability of the fund manager is strong enough and most of the assets invested can make money, then the net value of the fund may continue to rise. Public Offering of Fund's outstanding fund managers and the investment and research teams behind them have the decision-making ability, risk control ability and information advantages beyond ordinary investors, and are expected to seize market opportunities in time, constantly explore high-quality stocks, adjust positions and obtain excess returns.
When some funds split or pay dividends, the net value will inevitably decrease. If you only take the net value as a reference at this time, you may miss a good fund.