Key investment points of "Flexible Asset Allocation Fund":
1. Adjust asset allocation at the lowest cost. The biggest advantage of open-end funds is that investors can purchase and redeem freely, but the cost of purchase and redemption is relatively high; As a result, product innovation has introduced "umbrella fund", and investors can actively allocate assets such as stocks and bonds through low-cost conversion between sub-funds. Although the switching cost of each sub-fund is low, there are still expenses; In addition, the market has further innovated its products and launched a "flexible asset allocation fund", which can invest in any kind of securities as high as 100%. Therefore, fund managers can flexibly adjust the investment ratio of fund assets such as stocks, bonds and cash according to market conditions, which is equivalent to adjusting asset allocation for fund investors free of charge.
For example, when the bond market is bullish, you may choose to invest in the bond sub-fund under the umbrella fund, or you may choose to invest in the flexible asset allocation fund, because the bond investment ratio of such funds will increase at this time. After a while, the stock market was bullish. If you invest in bond-type sub-funds at first, you can only invest in stock-type sub-funds through sub-fund conversion, and of course you need to pay the conversion fee. However, if the initial investment is a "flexible asset allocation fund", investors can convert it into stock investment without paying any fees at all, because the fund manager has increased the proportion of stock investment according to market conditions.
2, can obtain the investment income of the securities market to a great extent. Because investing in such funds can make full use of the professional advantages of fund managers to allocate large-scale assets such as stocks and bonds, when there are investment opportunities in the stock market, it will expand the proportion of stock investment and obtain stock market income to a greater extent; When there are investment opportunities in the bond market, increase the proportion of bond investment in order to obtain greater returns in the bond market. On the whole, the investment income of the securities market will be obtained to a great extent through the "opportunity" choice of fund managers.
Mixed fund [mixed fund]
The portfolio includes mutual funds with fixed income investments such as growth stocks, income stocks and bonds.
The purpose of hybrid fund design is to let investors diversify their investments by choosing a fund type, without buying different styles of stock funds, bond funds and money market funds. Hybrid funds adopt both aggressive and conservative investment strategies, and their returns and risks are lower than those of stock funds and higher than those of bonds and money market funds. It is a wealth management product with moderate risk. Some well-run hybrid funds will even exceed the level of equity funds.