Many people buy funds without knowing anything about them, and thus lose money. From then on, they no longer believe in financial management, and feel that financial management is a money trap. So why do some people lose money when they buy funds?

There are certain risks in buying funds, but the types of funds are different, so the risks and returns are different. For example, the risk of currency funds is very small, but the returns are very small, so many people look down on it and think

Buy a riskier fund.

Therefore, when buying stock funds or mixed funds, the market happens to be in a downward trend when the market is not good. Some people watch the decline for a few days and think to themselves, if it keeps falling, I will lose money to death, so I should redeem it quickly.

Again, if you look at which fund has risen high, go for a fund with high returns and rising prices. If you buy it and then it falls, you will definitely feel that the fund is cheating novices.

But this is not the case. Part of the reason for such losses is oneself. Therefore, funds are volatile products, and fluctuations are normal. Funds need long-term holdings and fixed investments to diversify their risks, and funds buy and sell in the short term.

The redemption fee is very high, and the handling fee for frequent operations is also a large expense.

If you don’t want to lose money when buying funds and cannot bear a lot of risks, then you can choose to buy currency funds and bond funds, which have lower risks, but the returns are slightly higher than bank interest rates. Although the returns are a little lower, the accumulation is small.

Having more is not bad, it is better than nothing.