Three Strategies Suitable for Novice Investors
Sustained holding strategy
This is the simplest fund trading strategy. Literally, we can understand this strategy, choose the right fund and buy it, and stick to the core of this strategy.
The theoretical basis of sustainable holding strategy is the value created by time. As long as the fund target is selected and the time is locked, the intrinsic value of the fund will gradually increase, which is reflected in the growth of the fund's net value and ultimately the profit of investors.
To make good use of this strategy, we must overcome the mentality of day trading. Set a good profit target, stick to it, and know how to take profit.
Fixed investment strategy of fund
This should be the most frequently heard strategy. Fixed investment of funds is to set a fixed investment plan after selecting funds, including setting a fixed deduction time, deduction period and deduction amount. Similarly, the expected income target should be set before starting the fixed investment.
The fund's fixed investment is easy and labor-saving. Now most fund trading channels can set a fixed investment plan, which is simple to operate.
The biggest advantage of the fund's fixed investment is to diversify investment, saving time and effort.
Core satellite strategy
This strategy is also a fund portfolio strategy, which takes funds with stable returns as core assets, such as bond funds, and then takes industry-specific funds as satellites to form a balanced fund portfolio. The core and satellite parts can be adjusted according to their own risk tolerance.
This strategy can achieve a good balance of risks, both offensive and defensive, but it also requires investors to have a clear and in-depth understanding of various funds and certain fund judgment ability.
Strategies suitable for citizens with certain investment experience
Rebalancing strategy
Rebalancing strategy is a strategy to restore the proportion of equity assets and non-equity assets in the portfolio to the initial state after the fund portfolio is established and operated for a period of time.
First, the basic people should determine the initial investment ratio of stocks and bonds, then set the adjustment value of rebalancing, and then strictly abide by the investment discipline and implement it.
Rebalancing strategy means that investors need to stick to the same investment strategy and may miss the income when the market is extremely overvalued and undervalued. At the same time, it also needs long-term verification.
Merrill Lynch clock strategy
Merrill Lynch clock strategy is actually a large-scale asset allocation strategy, which allocates different types of assets in different markets according to the rotation of market cycles.
By judging the economic cycle and inflation level, choose high-quality funds representing different assets to invest.
This strategy requires investors to be sensitive to market changes, make good use of them, and grasp the investment opportunities in the stock and bond markets through changes in the market cycle.
contrary investment strategy
Reverse investment strategy is to buy assets at a lower price by digging up market misconceptions or paying attention to blind spots, and wait patiently for relevant assets to get market attention again or be correctly priced by the market.
Reverse investment strategy is a relatively anti-human operation, which mainly tests the investment psychology of the basic population. First, we must find companies, industries or factors that have been found to be mispriced by the market, screen out the targets whose fundamentals have not changed much, but are not concerned by the market, and buy them in reverse when the price is extremely low or the attention is extremely low, and hold them patiently.
Finally, this strategy is suitable for those more experienced people who want to get higher income.
Risk equivalence strategy
The specific operation method is as follows: under the premise of grasping the fluctuation range between the main index of A shares and the yield of government bonds, calculate the potential withdrawal and income of stock and debt assets, and then give the investment ratio of stock and debt.
This strategy is suitable for citizens or institutions to allocate large funds for investment.
All-weather strategy
All-weather strategy is a risk parity strategy based on asset allocation category.
First, select high-quality funds that can represent the relevant types of assets, then calculate the volatility contribution of each type of assets, and finally complete asset allocation and rebalance regularly.
Compared with the above strategies, these two strategies are more professional and difficult to master, but if used well, the effect is also very remarkable.
I hope the above contents are helpful to you.