the so-called reverse investment simply means going against the mainstream of the market, avoiding hot stocks and looking for stocks that are not concerned by the market and whose stock prices are seriously undervalued. The valuation of such stocks is lower than the historical average level for a period of time, and its risks have generally been fully or even over-reflected by the market; There is also a kind of stocks that may have a recovery in the economy but have not been fully explored by the market, or stocks that have a recovery in the company's operations but have limited market expectations. When the market starts to react correctly to the value of such stocks in the future, it is easier to get higher returns.
if you want to apply for a reverse investment fund, there are two prerequisites: first, you should choose those fund managers whose past performance shows that they have valuable investment skills; Secondly, we should be patient enough, because when the fund buys some unpopular stocks in reverse, it is difficult to predict how long it will take the market to pay attention to these stocks. Reverse investment funds will not show their performance in a short period of time by chasing growth stocks and hot stocks like some funds.