Buying a fund is not buying stocks. "Buying down but not up" is not a good approach; the net value of a fund can reflect its historical performance to a certain extent and has no direct relationship with market risk and the value of your assets.

Your investment income will mainly come from the growth of the fund after you buy it. On the one hand, it depends on the investment opportunities in the target market (these opportunities are the same for a certain type of fund), on the other hand, it depends on the investment

The team's ability to identify and exploit these opportunities.

Therefore, in the long run, the level of net worth at the time of purchase itself has little impact on your investment return.

For example, an investor subscribed for 20,000 new funds for 20,000 yuan during the fund issuance period (subscription, subscription and redemption fees are not considered here). After one year, the net value of the fund became 1.2 yuan.

, the net value increased by 20%, and the investor received a profit of 4,000 yuan; assuming that the customer still invested 20,000 yuan when the net value of the fund was 0.8 yuan, and subscribed for 25,000 shares, the net value increased to 0.96 yuan after one year, although the share was

25,000 copies, but the investor’s income is still 4,000 yuan.

Obviously, for open-end funds, as long as you choose an excellent fund manager, they should be held as a long-term investment tool.

The "buy down but not up" strategy does not apply to funds.

Many investors are worried that the net value of the fund has reached its peak and will either fall back or it will be difficult to rise again.

In fact, this is confusing the difference between funds and stocks.

It is easy for a stock to fall back after hitting a sky-high price because the rise in stock price depends on the profitability of the listed company. When profitability cannot keep up with the speed of stock price rise, the stock price will inevitably be corrected.

The characteristics of the fund are diversified investment and flexible allocation. It purchases a "basket" of stocks, that is, a collection of many stocks.

Fund managers will adjust their investment portfolios at any time based on the rationality of individual stock prices, the competitiveness of company operations and changes in market sentiment, and can select individual stocks with greater potential for stock exchange operations at any time.

Because of this, investors can see in the quarterly and annual reports released by fund companies that the fund's heavy holdings will slowly change over time.

Therefore, a fund with a correct stock selection strategy and a properly adjusted investment portfolio can continue to rise in net worth, and can even be higher if the net worth is high.

On the other hand, if the stock selection is not done well, a fund with a low net worth may still continue to fall.

When investors choose fund investments, the net value of the fund is indeed a factor to consider, because it directly determines the cost of your investment.

However, fund investment is more about future long-term returns. As long as it is an excellent fund management company with a strong brand and outstanding performance, it is worth entrusting your funds and waiting for investment returns.