Besides bank financing, the most common investment markets are stock market and fund market.
The risk of the stock market is relatively high, and the requirements for professionalism are relatively high. If you have no investment experience and understanding of the market, don't invest in the stock market easily.
Compared with the stock market, the fund market is more close to the people, and there are many kinds of funds. Both novice investors and experienced investors can find their own investment varieties and investment methods.
However, due to the lack of understanding of the fund market, many novices will ask, is fund investment reliable? Can you make money by buying a fund? Let's give you a brief analysis.
It is normal to have fear because you don't understand. Only with correct cognition and in-depth understanding can we be comfortable with product investment and identify risks.
The fund we are talking about here is Public Offering of Fund, which is suitable for most ordinary investors, excluding other private equity funds and equity funds.
Public Offering of Fund, simply put, is to raise investors' funds in an open way according to the established legal and compliant process, and then hand them over to professional fund managers for investment and centralized management.
Public Offering of Fund, as its name implies, is a public offering, which is a financial product for hundreds of millions of people. The investment threshold is very low, the minimum investment is 10 yuan, so basically everyone can do asset planning and financial management through investment funds. It is precisely this feature that fund investment is inclusive, and the corresponding supervision of funds is almost the strictest.
High threshold fund company
First, let's look at fund companies.
Fund companies are financial institutions directly supervised by China Securities Regulatory Commission, and China Asset Management Association assists in supervision as a self-regulatory organization. The establishment of a fund company requires a license issued by the China Securities Regulatory Commission. Fund license is one of the main financial licenses in China, which has high requirements in shareholder background, capital and management team.
Wide investment scope
For ordinary investors, Public Offering of Fund is especially worth investing because it has many unique advantages compared with other financial products in the market. For example, Public Offering of Fund has a wide range of investments.
Public Offering of Fund can invest in fixed-income bond assets, equity assets such as stocks and foreign financial products. Bond funds mainly invest in bonds, stock funds and mixed funds with partial stocks mainly invest in stocks, and all of them have very clear fund classification, which is convenient for investors to choose their own fund varieties.
Lower the investment threshold
Among all kinds of underlying assets invested by funds, a considerable number of products have high thresholds, and it is generally difficult for ordinary investors to have investment opportunities. For example, many bonds can only be traded by financial institutions. Even for stocks that ordinary people can buy and sell casually, some thresholds are relatively high. For example, if you are optimistic about Maotai stock, but the stock price is more than 1000, it will cost hundreds of thousands to buy one hand, and only a little money is needed to participate through the fund. For example, the threshold for science and technology innovation board to participate in the stock market is to have 500,000 account assets. He can participate in science and technology innovation board investment by investing in science and technology innovation board stock funds or science and technology innovation board index funds below 100 yuan.
Realize decentralized asset allocation
Another important benefit of Public Offering of Fund is that it can help us to realize the decentralized allocation of funds. Fund investment should abide by the "Double Ten Principles". What does this mean? That is, a fund holding the same stock shall not exceed 10% of the fund assets, and all funds under a fund company holding the same stock shall not exceed 10% of the market value of the stock. This forces the fund to diversify its investment, so even if the fund unfortunately steps on the stock of thunderstorm, it will not have a great impact on the net value of the fund.
Leave the funds to professionals for management.
People who can be fund managers have professional investment ability. Basically, they are all masters and doctors who graduated from prestigious schools and need many years of industry research experience. Investing in a fund is equivalent to finding the most powerful person in the market to manage your money, so we can save worry and effort and leave professional things to professional people.