Secondly, we should be clear about the risk we can bear and the expected level of income. If you don't want to take too much risk, you can consider low-risk capital preservation funds and money funds; If the risk tolerance is strong, equity funds can be given priority. Equity funds are more suitable for young and middle-aged investors who have fixed income and like aggressive financial management. Risk-neutral people should buy balanced funds or index funds. Different from other funds, the investment structure of balanced funds is the balanced holding of stocks and bonds, which can ensure that the investment always runs in the middle and low risk range and achieve the purpose of balancing income and risk. People with poor risk tolerance should buy bond funds and money funds.
Third, we should consider the investment period. Determine your investment period according to your own capital use and requirements for asset liquidity, try to avoid frequent purchase and redemption in the short term and avoid unnecessary losses.
Fourth, choose high-quality fund companies. It is necessary to know more about relevant fund management companies and investigate their investment style and performance. First, the income of this fund can be compared with that of the same type of fund. Second, the fund income can be compared with the market trend. If the performance of a fund is better than the market index in the same period most of the time, then it can be said that the management of this fund is more effective. Moreover, the profitability of the fund is directly related to the fund manager, whose ability, quality and stability have a great influence on the operation of the fund. For a fund manager, it depends on his work experience, what was his professional work before he became a fund manager, and what was his content. From his historical work, we can examine a fund manager's investment style and operational ability.
Fifth, choose the right time to buy. In fact, investment funds, like investing in stocks, should also choose a suitable investment opportunity. If the investment timing is not well grasped, the income will be greatly reduced. For example, even if the fund you buy is good in all aspects but the market is not good, the income will be lower than that obtained when the market is good, and even there will be lock-in.
Finally, it is suggested that the old and the new should be combined for portfolio investment. When the stock market rises to a certain extent, in order to reduce the risk, we can buy some new funds appropriately, and when the stock market falls, we can buy more old funds with better performance; You can buy less when the net value of the fund is high, and buy more when it is low. This combination of old and new will be more conducive to spreading risks and increasing profits.