Suppose you have a sum of money to invest in bonds, stocks and other securities to increase the value, but you have no energy or professional knowledge, and the money is not too much, so you want to invest in partnership with other 10 people and hire an investment expert (theoretically higher than me) to operate the assets invested by everyone to increase the value. But there, if investors above 10 negotiate with investment experts at any time, it won't be chaotic, so they recommend someone who knows the most about it to take the lead. Give him a certain percentage of everyone's assets on a regular basis, and he will pay the master service fee on his behalf. Of course, he will take the lead in making arrangements for big and small things, including running errands from door to door, reminding the master of risks at any time, and regularly announcing the investment profits and losses to everyone. , so I didn't come for nothing, and the money in the commission also has his service fee. These things are called partnership investment.

Enlarge this partnership investment model by 100 times and 1000 times, which is the fund.

This kind of private partnership investment activity belongs to private equity fund if a complete contract is established between investors (which has not been recognized by the relevant laws and regulations of the national financial industry supervision in China).

If this partnership investment activity is approved by the national securities regulatory authority (China Securities Regulatory Commission), and the lead operator of this activity is allowed to make a public offering to attract investors to join the partnership investment, this is the issuance of publicly offered funds, which is a common fund now.

What is the role of fund management companies? The fund management company is the lead operator of this kind of partnership investment, but it is a corporate legal person, and its qualification must be approved by the China Securities Regulatory Commission. Fund companies, like other fund investors, are also partners. On the other hand, due to its leading operation, it is necessary to extract service fees (called fund management fees) from the assets jointly produced by everyone every year, manage investment experts (fund managers) who are responsible for transactions on behalf of investors, and help experts collect information and engage in research, and regularly announce the assets and income of the fund. Of course, these activities of fund companies are approved by the CSRC.

In order to ensure the safety of the assets produced by all of us, the lead operator of the fund company will not steal or misappropriate them. China Securities Regulatory Commission stipulates that the assets of a fund cannot be placed in the hands of fund companies, and fund companies and fund managers only care about trading operations and cannot touch money. Find someone who is good at this matter and has high bookkeeping credit. Of course, this role belongs to the bank. So these contributions (that is, fund assets) are placed in the bank, and a special account is built, which is kept by the bank and called fund custody. Of course, the service fee of the bank (called fund custody fee) must be paid from the assets of the partnership every year. Therefore, relatively speaking, fund assets only have the risk of loss caused by poor operation of experts, and there is basically no risk of theft. From a legal point of view, even if the fund management company goes bankrupt or even the custodian bank has an accident, the person who collects debts from it has no right to touch the assets in everyone's fund account, so the security of fund assets is very guaranteed.

If this kind of Public Offering of Fund is announced to be established after raising investors within the prescribed time limit (the state stipulates that it must have at least 1 000 investors and the scale can reach 200 million yuan before it can be established), it will stop attracting other investors and stipulate that no one can withdraw from the fund halfway. However, until some month in the future, all of us will have to settle accounts and share the burden. If you want to cash in halfway, you have to find someone else to sell it yourself. This is a closed-end fund.

This kind of Public Offering of Fund, if declared, still welcomes other investors to invest at any time, and at the same time allows everyone to withdraw their own funds and due income at any time. This is an open-end fund.

Whether it is a closed-end fund or an open-end fund, if it is convenient for everyone to buy and sell, we will find an exchange (securities market) to list the fund and trade it freely among investors at the market price. This is a listed fund.

Now look at the following fund concept, don't be too dizzy.

Securities investment fund is a kind of collective investment and financial management method with shared interests and risks. That is, by issuing fund units, investors' funds are concentrated, managed by fund custodians (usually reputable banks), managed and used by fund managers (namely fund management companies), and invested in financial instruments such as stocks and bonds. While enjoying the income from securities investment, fund investors should also bear the risks brought by investment losses. The funds in China are all contract funds for the time being, which is a trust investment method.

The characteristics of securities investment funds:

1. Expert financial management is an important feature of fund investment. Investment experts equipped by fund management companies generally have a profound theoretical foundation and rich practical experience in investment analysis, scientifically study financial products such as stocks and bonds, make portfolio investments and avoid risks. Accordingly, the fund management company will withdraw management fees from the fund assets every year to pay the company's operating costs. On the other hand, the fund custodian will also withdraw the custody fee from the fund assets. In addition, open-end fund holders need to pay the subscription fee, redemption fee and conversion fee directly. Holders of listed closed-end funds and listed open-end funds need to pay trading commissions when buying and selling fund shares.

2. Securities investment and risk diversification. By pooling the funds of many small and medium-sized investors, the securities investment fund has formed a strong strength, which can diversify the investment in multiple stocks at the same time, thus dispersing the risk of concentrated investment in individual stocks.

3. Convenient investment and strong liquidity. The minimum investment requirements of securities investment funds are generally low, which can meet the needs of small and medium-sized investors for securities investment. Investors can decide the investment quota of the fund according to their own financial resources. Most securities investment funds have strong liquidity, which makes it very convenient for investors to recover their investment. China also gives tax exemption to people's fund investment income.

And the related problems of securities funds are explained.

What are the subscription fees and subscription fees of the fund?

It's the fee you have to pay for investing in a partnership, because it costs a lot of money for fund companies to publicize activities to attract investors, and these expenses naturally cannot be paid by others. In addition, by increasing the cost of your participation, you will reduce your desire to leave soon after joining the partnership.

How much is the redemption fee of the fund?

In other words, you have to pay the price for recovering your investment and income for similar reasons. Another is that some people withdraw their capital, and the fund may have to sell some bond stocks in order to pay back your cash. This is an act that is not good for the assets of the fund, and it also has a bad influence on the interests of other partners who do not withdraw their shares, so let you leave some expenses as compensation.

How much is the conversion fee of the fund?

That is, the same fund company operates multiple funds. If you hold one of the funds and want to exchange it for another fund operated by the fund company according to the same amount of assets, you have to pay the conversion fee to the fund company. The reason is the same as the above two, mainly to increase the cost of your replacement and prevent you from changing frequently.

What is the fund transaction commission?

It is the service fee charged by the business department of the securities company that provides trading services for you when the listed fund is transferred in the exchange market.

Why are there so many types of securities investment funds?

This is because different funds have different main investment directions and investment targets.

Equity funds are funds that invest most of their funds in the stock market;

Bond funds are funds that invest most of their funds in the bond market;

Hybrid funds are funds that invest part of their funds in stocks and the other part in bonds according to the situation (of course, this investment ratio can be changed and adjusted), and even part of their funds can be invested in other varieties according to prior regulations;

Money market funds are all kinds of short-term securities whose assets are only invested in the money market (low risk and low return).

The order of investment risks of these funds from high to low is roughly: stock funds, hybrid funds, bond funds and money market funds.

Because of the different risks, investors should choose the fund suitable for the risk level according to their own risk tolerance, and they can also spread risks and balance the income level by investing in some low-risk, medium-risk and high-risk funds. This behavior is called portfolio.

What are the names of different funds such as growth, value, industry, blue chip, small cap, cycle and consumer goods? ? They put the main investment strategy on the name, so that investors can see at a glance. Of course, it does not rule out that some funds just wanted to find a good name for the CSRC at that time, so that it was easy to approve the establishment.

The above is mainly about securities investment funds. There are also real estate funds that invest in real estate, futures option funds that invest in futures options, gold funds that invest in the gold market, and industrial funds that invest in industry. For us fund investment novices, there are few investment opportunities in these funds. Let's start with the most common securities funds.

Fund dividends are not the main way for funds to obtain income.

The income of the fund mainly depends on the daily rise and fall of the net value of the fund, which is similar to that of stocks, that is, low-time subscription and high-time redemption.

Generally speaking, the ways or investment varieties of family financial management mainly include: saving, buying stocks or funds, buying bonds, buying insurance, buying gold, investing in real estate and other real estate. From the international comparison of family financial management, at present, China families should increase their investment in securities in order to obtain higher income. How to buy a fund? Here are a few major principles.

First: You should at least know the basic knowledge of funds. What is a fund? Simply put, funds are portfolio investment, risk diversification and expert financial management. That is, if you buy a fund, the fund manager will combine all the money of the fund purchaser to invest in stocks and bonds, and the money earned or lost will be yours. What you pay the fund manager is the annual management fee 1.5% (in general).

Second: Is it better to buy stocks or funds? We suggest that ordinary investors still buy funds. First, at present, there are more than 1400 stocks in China. It is very difficult and professional to choose a good stock to benefit from it. For example, 2006 was a big bull market in China stock market, but a year later, there are still some stocks with negative annual returns. How can ordinary investors ensure that the stock you buy will not fall? Buying a fund is equivalent to giving money to an expert. The fund manager will choose a basket of stocks to invest. You may not get the highest return, but you can get the average market return. Second, from the international experience, in mature markets such as the United States, investors basically obtain the income of the securities market indirectly by buying funds, and rarely invest in stocks themselves; Third, from the performance of the fund, because the fund buys a lot of stocks and invests at the same time, the fluctuation will be relatively small and the risk will be relatively small.

Third: what kind of fund to buy? The type of fund you choose is mainly related to your risk tolerance. When choosing a fund, individual investors must clearly understand their risk tolerance and the nature of the fund, and then make a choice from the type and style of the fund. Generally speaking, stock funds with high stock positions have the characteristics of high risk and high return, which are suitable for young people or people with strong risk tolerance.

Fourth: Fund investment is medium and long-term investment. If you want to grab a handful of money in a short time by buying funds, then I advise you not to buy funds or enter the stock market. Investment funds must have long-term ideas. According to the research of mature markets, the long-term average return of stocks (including funds) is at the level of 10% per year. From the American market, the reasonable return in 50 years is about 15%. Therefore, the mid-line band operation of the fund has higher requirements for investors. Only through medium and long-term investment can you share the economic growth and stock market prosperity of China.

Fifth: 1 yuan is it very cheap to subscribe for a new fund? Now many people think that the new fund 1 yuan subscription is very cheap, so they go to the queue to buy it. And those old funds, many people think that the net worth is too high and too expensive, in fact, this is absolutely wrong. How do you calculate the return of your investment fund? In fact, what you earn is the rise and fall of the fund. For example, one day the stock market rose by 3%, ignoring the management ability. Under normal circumstances, the returns of the two funds are similar. Suppose the net value of both funds has increased by 1%, the new fund you bought with 1 yuan earns 1 cent, and the old fund you bought with 2 yuan money earns 2 cents. In this way, if you invest 20,000 yuan to buy a fund, the money you earn from buying new and old funds is the same.

Since 2007, the securities market has entered a period of volatility and the performance of various funds has also changed. From the statistical data, small-cap funds generally perform well, mainly because the amount of small-cap funds is small, so the operation is flexible and it is convenient to adjust positions and stocks. The recent market trend provides space for small-cap funds to give full play to their strong liquidity. Therefore, if you expect that the overall performance of the securities market in 2007 will fluctuate upward or fluctuate greatly, you may wish to pay more attention to small funds.

To measure a fund, many people only look at the star rating and unit net worth, and avoid other performance indicators, such as standard deviation, beta value, Sharp ratio and so on. You can buy a five-star fund when you buy a fund, so you won't choose a three-star variety. However, after a long time, Ji Min found that the five-star fund was "reduced" to two stars, and the once underestimated Samsung fund became a five-star fund. In fact, by skillfully using the fund performance indicators provided by Morningstar and other institutions, the basic people can inspect the fund through four steps, thus accurately judging the profitability, risk coefficient, performance stability and long-term investment value of the fund, and easily choosing the "heart water" fund that suits them.

"Buy a fund and count the stars" is the game rule of many citizens, and many fund companies also regard "star rating" as an important weight for publicity. Therefore, when some citizens choose funds, the reference basis is the fund rating. If you can buy a five-star fund, you will naturally not buy a three-star fund. But after a period of time, careful citizens found that the star rating of the fund is not the golden rule. Because the star rating of the fund has also turned around, it has not always won the five-star throne.

Since star rating cannot be the standard for selecting funds, what method should be used to "treasure hunt" in funds? Regarding the performance of the fund, the basic people are concerned about the growth of net worth and the star rating given by the organization. However, people know little about other indicators to measure fund performance. In fact, just as the allocation of funds determines the style of funds, the statistical indicators of fund operation can also objectively measure the performance of funds.

In professional organizations such as Morningstar, there are many indicators to measure fund performance, including annual average rate of return, standard deviation, Sharp ratio, alpha coefficient, beta coefficient and so on. These fund indicators seem to be difficult to understand, which often makes the people discouraged. However, by skillfully borrowing these indicators, Jimin can examine the fund's profitability, risk coefficient, performance stability and long-term investment value through four steps, so as to choose the "heart water" fund that suits him.

There are many indicators about funds. How to use fund indicators to "Taobao"? In this paper, three star funds that have passed the bear market test are used to "show themselves", such as the small-cap growth of Guangfa, the advantage of investing in Morgan China and the strategic growth of E Fund. Through four steps, how to skillfully use fund indicators and choose the right fund is explained.

Step 1: Check profitability.

Investors are usually concerned about the profitability of funds. Therefore, the first step to examine the fund is to look at its profitability. Regarding the performance of the fund, there are return indicators such as one week, one month, three months, six months and one year. As a product of long-term investment, funds must look at long-term performance. Generally speaking, at least three months of performance can fully reflect the "temperament" of the fund. Therefore, according to Morningstar.com's data, the performance indicators to examine the fund's profitability mainly include benchmark index, fund category and annual average income. (See table 1 for specific data).

The so-called benchmark index means that each fund has its own performance comparison standard, reflecting the ability of the fund to overcome its own reference. Therefore, the larger the number, the stronger the explanatory power. Of course, compared with its own reference, the fund has to make a horizontal comparison with its peers. This index depends on the type of fund, which means that the performance of the fund is higher or lower than the average income of similar funds in a certain period of time. Obviously, in these two indicators, Morgan China has an outstanding advantage, followed by E Fund's strategic growth.

In addition, the average annual income is one of the important indicators to reflect the fund's profitability, and the total income for one year is calculated according to the data from this year to the present. Generally speaking, the greater the total return, the better. Judging from the data of Morningstar.com, among the performances of these three funds this year, Morgan China has the best profitability, followed by E Fund's strategic growth.

Step 2: Examine the risk coefficient.

Benefits are always accompanied by risks. It is the ideal state of the fund to obtain higher returns with lower risks. Therefore, after examining the profitability of the fund, it is natural to pay attention to the risk coefficient of the fund. Risk coefficient is an index to evaluate fund risk, which reflects the possibility of fund downside risk, that is, loss rate. In Morningstar's rating, the indicators to measure fund risk mainly include the worst quarterly rate of return and Morningstar risk coefficient. (See Table 2 for relevant data).

To investigate the downside risk of the fund, we must first look at the worst quarterly rate of return. Refers to the worst quarterly rate of return since the establishment of the fund. This indicator reflects the worst performance of the fund when the market falls. From this indicator, among the three funds, the downside risk of E Fund's strategic growth is the biggest, and the worst three-month return is-12.66%; Secondly, the advantage of investing in Morgan China, the worst three-month income is-7.56%; The growth of small-cap Guangfa is relatively steady, with the worst three-month return of -7.24%.

In addition to this indicator, we can also analyze the risk from the risk coefficient of Morningstar. Used to measure the downside risk of a fund relative to similar funds. Among them, Morningstar uses the domestic one-year bank time deposit interest rate as the risk-free rate of return. The higher the coefficient, the higher the downside risk of the fund, that is, the loss rate relative to similar funds. Judging from this indicator, these three funds are all varieties with high risk coefficient.

Step 3: Examine the stability of performance.

It is a good thing that the fund has good profitability, but can this ability be sustained? It also depends on the stability of fund performance. The worst quarterly rate of return and the Morningstar risk coefficient reflect the risk probability of the fund's decline, while the stability of the fund depends on the standard deviation, beta coefficient (β) and R square, which will directly reflect the fluctuation range of the fund's income.

Standard deviation, also known as fluctuation range, refers to the deviation between the weekly (or monthly) return rate of the fund and the average weekly (or monthly) return rate in the past period. Reflect the fluctuation range of the fund's total rate of return. The larger the value, the greater the fluctuation. For example, the rate of return of Fund A in recent two months is 1%, so its standard deviation is 0. While fund B earns 5% in one month and -7% in the other. Obviously, the standard deviation of fund B is greater than that of fund A.

Similarly, beta coefficient (β) is a relative index, which measures the overall volatility of fund returns relative to performance evaluation benchmark returns. The higher the beta coefficient, the greater the volatility of the fund relative to the performance benchmark. If the β coefficient (β) is 0.9, it means that the fund rises and falls by 9% with the rise and fall of the market 10%.

It is worth noting that whether beta coefficient can effectively measure risk is largely influenced by the correlation between fund and performance evaluation benchmark. If the fund is compared with an irrelevant performance evaluation benchmark, the calculated β coefficient is meaningless. Therefore, when examining the β coefficient, we should also examine another index-R square. R squared is 1, indicating that the fund is completely related to the performance evaluation benchmark; The square of r is 0, which means there is no relationship between the two. The closer the R square is to 1, the better the β coefficient can reflect the fund's volatility. On the contrary, the lower the R-square, the lower the reliability of β coefficient as an index of fund fluctuation.

Standard deviation, β coefficient (β) and R square quantify the fluctuation of income, not the risk of investment. In fact, it reflects whether the performance of the fund is growing steadily for a long time, or it is like a roller coaster. According to these three indicators (data are shown in Table 3), the income of E Fund's strategic growth fluctuates the most, followed by Morgan China's advantage, and the net performance of Guangfa's small-cap growth is the most stable.

Step 4: Examine the long-term investment value.

With the help of Morningstar's related indicators on fund performance, citizens will have a clear concept of the fund's profitability, risk coefficient and performance stability, and they can choose funds according to their own income expectations and risk tolerance. However, people's investment funds are generally held for a long time. Naturally, I hope that the higher the income, the better, and the smaller the risk. Therefore, Sharp ratio is a performance indicator that has to be paid attention to.

The performance, income and risk of a fund should be considered, and Sharp ratio is an index that can comprehensively consider income and risk. Sharp ratio, also known as Sharp index, is the most commonly used standardized index to measure fund performance in the world. It is one of the indicators to measure the fund's risk-adjusted income, which reflects the excess income obtained by the fund taking unit risk, that is, the total income of the fund is higher than the risk-free income in the same period.

In general, the higher the Sharp ratio, the higher the excess rate of return obtained by the fund undertaking unit risk. As can be seen from the data in Table 4, the advantages of investing in Morgan China can better balance the benefits and risks, followed by the strategic growth of E Fund and the lower growth of Guangfa.

With the help of the fund's indicators, the basic people can find that from the perspective of profitability and long-term investment value, the advantage of investing in Morgan China is the most prominent, followed by the strategic growth of E Fund; In terms of risk coefficient and income stability, the growth of small-cap stocks in Guangfa is the most stable, followed by Morgan China.

It can be seen that with the performance indicators provided by professional institutions, citizens can accurately judge the profitability, risk coefficient, performance stability, long-term investment value and other important information of the fund and choose the appropriate fund products. Of course, it is impossible to guarantee the accuracy of 100% by measuring funds with reference indicators, but at least it can help investors understand the situation of funds and improve the probability of profit.

Summarize what I said above!

I think it can be configured into 20% equity funds and 80% allocation funds! Among them, the allocation type can be divided into 50% conservative allocation type and 30% active allocation type fund!

I think the stock funds are good: Huaxia Return, Yin Hua Quality, Bosera Theme, Harvest 300, Franklin Guohai Flexibility, Dongwu Harvest Advantage Selection and so on.

Allocation of funds: Yin Hua advantage, Harvest stability, etc.

The above is my personal opinion, I hope it will help you!

But in fact, the best fund is the best for you!

I hope you don't blindly listen to other people's opinions, and you'd better buy it through your own observation and consideration!

After all, investment is holding your hard-earned money!