Investment can't be aimless, but after a long time, investors can easily ignore the purpose of an investment. Equity funds usually play the role of capital appreciation, while investment in bond funds or quasi-money market funds is often to obtain stable income. You don't have to follow the growth of active stocks to increase their proportion in the portfolio, but you must be clear about the expected goals of the portfolio you hold. For example, make sure that you have enough money for your children to complete their studies when they get the college admission notice five years later; For example, if you retire after 10 years, you hope that the income of the fund portfolio will exceed the inflation rate by more than 4% during this period. Therefore, investors should carefully consider the priority order of investment objectives and investment needs, and whether the original order of objectives and needs has changed. If an investment in the portfolio fails to achieve its goal, it should be considered for replacement.

Second, there is no core combination.

If you hold many funds but don't know why you choose them, your fund portfolio may lack a core portfolio. For each investment goal, you should choose three or four funds with stable performance to form a core portfolio, and their assets can account for 70%-80% of the whole portfolio. Overseas, many investors choose large-scale balanced funds as their core portfolios.

Third, excessive non-core investment.

Non-core investment outside the core portfolio can increase the return of the portfolio, but it also has higher risks. If investors invest too much in non-core parts, they may unconsciously take too high risks and hinder the realization of investment goals.

Fourth, the combination of "imbalance"

A good fund portfolio should be a balanced portfolio, that is, the proportion of various assets in the portfolio should be kept in a relatively stable state. With the passage of time, the performance of various investments is different. If some investments perform particularly well or poorly, the whole portfolio will be "unbalanced".

In Morningstar's evaluation system, the analysis of portfolio assets is refined to stocks and bonds held by funds, and the analysis of stocks is refined to styles and industries. For example, the original asset ratio of the portfolio is medium-term bonds accounting for 25%, small-cap growth stocks accounting for 10%, and large-cap value stocks accounting for 65%. If small-cap growth stocks skyrocket, the proportion of small-cap growth stocks in the portfolio may increase significantly. Investors should regularly adjust the asset ratio of the portfolio to restore it to its original state.

V. The number of funds is too large.

If there are too many funds, investors will often be dazzled and at a loss when they look at the long list of funds. We might as well use the criterion of "whether the fund can play a role in the portfolio" to screen: is the fund a core fund or a non-core investment? If it is a core investment, is it higher than other non-core investments? Through asset reallocation, investors can reduce the number of funds in the portfolio and increase the proportion of each fund.

6. Improper selection of similar funds

What is the style of the fund you hold? Do you hold too many funds of the same style? You can classify your own funds by style and determine the proportion of funds of various styles. When there are too many funds of a certain type, we should consider choosing the better ones and selling the worse ones in the similar performance rankings.

Seven, the cost level is too high.

If the style and performance of the two funds are similar, investors may wish to choose the fund with lower cost. In the long run, there will be a big difference between the fund with an annual operating rate of 0.5% and the fund with an annual operating rate of 2%.

Eight, there is no standard for sales.

Investors should set quantitative standards for selling funds. For example, you can accept a loss of 15%, but a loss of 20% will make you fidgety. In addition, if you change the fund manager, should you sell the fund or put it on the "watch list"? What is your performance benchmark for measuring fund performance? How long can you accept that the fund returns are lower than the performance benchmark? Investors can also design other standards according to their own needs.