How to correctly evaluate the performance and quality of the fund?
1. Compare the fund income with the performance benchmark of the fund. Each fund has its own agreed performance benchmark, which can be found in the fund contract and prospectus. However, this performance benchmark is rarely valued by individual investors. 2. Compare fund returns and stock market trends. If a fund performs better than the market index most of the time, you can say that the management of this fund is effective, and the management company that manages this fund has excellent research and investment capabilities. 3. Compare the income of this fund with that of other similar funds. Different types of funds should be treated differently. You can't directly compare the performance of different types of funds. For example, it is not appropriate to compare the performance of bond funds with that of equity funds. 4. Compare the fund income with your expected income. According to the investment principles of the fund and the operating philosophy of the fund manager, see if the performance of the fund meets your expectations. When the performance of the fund is far from its own expectations, it is necessary to look back to see if the fund manager has violated the investment principles and concepts promised in the fund contract. 5. Compare the current income of the fund with the historical income. Only stable performance is the real performance. The occasional success may be just luck, and the occasional failure may be temporary. You should comprehensively judge the performance of the fund from a long-term perspective. 6. With the help of the evaluation results of professional fund research institutions, such as the rating of Morningstar Fund and the fund comments of Good Buy Fund Research Center, new investors can enhance their intuitive understanding of the fund through their own comparison. Combined with the evaluation and research of professional fund research institutions, let them understand the fund comprehensively and comprehensively, and quickly improve the investment ability of the fund.