Let's look at the classification of funds first. Funds are divided into stock base, mixed base, debt base and goods base according to different investment objects.

The relationship between risk, profit and fluctuation is as follows: stock base >; Mixed base > debt base > cargo base.

1, cargo base and debt base

▲ Penghua Industrial Bond Pure Bond (000053)

There is little fluctuation between debt base and goods base, and the net value curve is almost unilateral. If a fund only rises and does not fall, it will be more cost-effective to buy it at one time.

2. Mixed base and stock base

▲ Shangtou Morgan Core Growth (000457)

Mixed base and stock base fluctuate greatly. When the net value falls, more shares can be obtained with the same capital investment, and the total cost is continuously reduced. When the net value rises, you can get higher returns with lower-cost chips. Realize "increase net worth and decrease share".

For example, if we have a fixed investment of 1 yuan, and the net value keeps decreasing, the total average cost will decrease. When the market picks up, you can get higher returns at lower cost.

Second, funds with strong inflation and resilience are more suitable for fixed investment.

An unstable fund means there will be peaks and valleys.

A good fund must fall and then rise, that is, it has strong resilience to overshooting. This is the fund we choose to invest in for a long time.

We look at the trend of the net value of these two funds according to the past data:

▲ A fund

▲B fund

Comparison:

The trend of fund a's net value has been downward for a long time. The longer the investment time, the more losses, which is not suitable for long-term fixed investment.

The net value of Fund B fluctuates greatly, but it can rise again after each decline, and the overall trend is upward. This kind of fund with strong inflation and resilience is more suitable for long-term fixed investment.

In summary, funds with large fluctuations and strong resilience are more suitable for fixed investment.