Different funds have different trading rules. For example, currency funds support real-time redemption, which means that you can redeem it on the same day you buy it. Most funds must wait until the fund company confirms the shares before they can be sold, and then they can only be sold on the third trading day. Therefore, when a fund can be sold mainly depends on the type of fund and trading rules.

The following are some specific operating methods I have found:

1. Sell in batches

Since the market is very difficult to predict in the short term, it is necessary to buy funds at the same time. Just like buying in batches, you should also sell in batches when selling funds! Personally, I think it should be divided into at least three batches or more, and the sales in batches should generally span a week or more. The specific operation depends on the individual situation.

2. When we need money, sell in batches in advance

When we need a lot of money, such as getting married, buying a house, or buying a car, we often need to sell funds. Since the market is very difficult to predict in the short term, once we determine that we need a large amount of money, it is best to secure the funds in time and sell the funds in batches at least one month in advance!

3. When the Morningstar rating is downgraded to three stars, resolutely sell

When the Morningstar rating of a fund is downgraded to three stars, it does not necessarily mean that the fund cannot return to excellence! However, it can be considered that this fund has seriously regressed, and the probability of returning to excellence is very low! At this time, resolutely sell the fund and buy or directly switch to another excellent fund! As for the three-year Morningstar rating of the fund, you can check it directly on Balance Baby, or you can check it on Morningstar’s official website! In addition, since fund switching eliminates the time difference between selling the fund and buying another excellent fund, it is recommended to use this method!

4. When the market is overvalued, sell in batches

Although there are many reference indicators for whether the stock market is overvalued. It’s just that it’s difficult for ordinary people, and even many professionals, to judge! Because there are always short and long sides in the market, and the truth is often in the hands of a few people. In addition, just because the market is overvalued does not mean that the stock market will not rise in the short term! Therefore, these indicators are for reference only!

1. When the P/E ratio is high, sell in batches

CSI 300 P/E ratio

For the entire market, the P/E ratio of broad indexes such as the CSI 300 Still a good judgement. Judging from the data, a P/E ratio of more than 18 times is definitely seriously overvalued, and positions should be cleared or maintained at a low of about 10%. But should a P/E ratio of 15 times be considered overvalued? Or is it basically reasonable? However, reducing your position significantly should be a safe approach! In addition, should a P/E ratio of 13 times be considered undervalued? Or is it basically reasonable? However, maintaining a medium position should be a good choice.

2. When the price-to-book ratio is high, sell in batches

As to whether bank stocks are overvalued, the price-to-book ratio can better explain the problem than the price-to-earnings ratio. However, since the bank stock market is too large, it is difficult to rise. I do not recommend bank-themed funds, so I will not conduct further analysis.

3. When the stock market is booming, sell in batches

When the stock market is booming, many people are cheering for the stock market, and retail investors are pouring into the market, the atmosphere of chasing the rise is enthusiastic and the trading volume is sky-high. The amount indicates that the stock market is too hot. It's very dangerous at this time. Don't worry about whether it will continue to rise. Just be safe and sell in batches decisively!

4. When major shareholders reduce their holdings of stocks and cash out, they sell in batches

When major shareholders reduce their holdings of stocks and cash out, it means that the market is overvalued, so they sell in batches.

5. When the market is numb to the negative news, decisively clear and sell positions

When the market is numb to the negative news, it means that everyone has lost their minds and the market is seriously overvalued, so clear the position and sell.

6. In order to control risks, when the state promulgates severe rectification measures, liquidate and sell.

In order to control risks, when the state promulgates severe rectification measures, it means that the market is seriously overvalued. Clearing and selling Out

5. Balance left and right, passive selling method

Many times, the market is overvalued or undervalued in the short term. In fact, it is difficult to judge, and the probability of misjudgment and misjudgment is still very high. High.

If your short-term judgment on the market is 70% correct, then there is a 70% probability of selling the fund when it is overvalued. But the story is not over yet! The real success of the swing operation is only when the market falls and rises again to the price you sold at, that is, when you can buy at a lower price.

Since your short-term judgment on the market is correct 70% of the time, the probability that you can buy at a lower price is also 70%. If you want to sell at a high price and buy at a low price, the success probability of the entire band operation is 70%X70 %=49%. If you include the loss of handling fees, your actual probability of success is even lower!