Advantages and disadvantages of stock funds
1, high turnover rate of funds: the turnover rate reflects the frequency of fund stock trading. In China, the turnover rate of equity funds is generally high, with an average turnover rate of over 500%;
2. High risk: Although the general trend in the market is to break the newly awakened redemption, many investors are still accustomed to the traditional fixed expected rate of return products. Equity funds are highly volatile, and the risk level is medium and high. In addition, Public Offering of Fund's professional ability is not enough, so there are not many investors to buy.
3. Guiding the concept of value investment: The development of equity funds forces fund companies to continuously improve their active management capabilities, which makes investors pay more attention to their long-term investment and value investment.
This paper mainly writes about what stock funds refer to, and the content is for reference only.