Novice investment funds are often unable to buy at a low level and sell at a high level, but are prone to reverse operation, so it is a lazy financial management skill for novices. However, novice fixed investment funds also need to master skills, so what are the misunderstandings of novice fixed investment funds?

1. Choose a fund with less fluctuation for fixed investment.

The main advantage of the fixed investment of the fund is to spread the cost and risk evenly through several investments, so the fund with high volatility is more suitable for fixed investment. When the fund fluctuates greatly, it has the opportunity to buy more fund shares at a low price, get higher expected returns after the fund rebounds, and share the losses when buying the fund at a high point.

For money funds, bond funds and other funds with small fluctuations, because their expected returns are relatively stable, the expected returns and risks are almost the same whether they are one-time purchases or fixed investments, so the significance of fixed investments is lost.

2. Only fixed investment can be made every month.

The fixed investment period of the fund is not limited to monthly fixed investment, but depends on how the fund company sets it, but most of them support weekly, monthly or quarterly fixed investment.

The fixed investment of the fund is a long-term investment method, and the date and cycle of the fixed investment have little influence on the long-term expected return of the fund. Investors can choose the appropriate fixed investment time according to their financial situation, such as choosing the fixed investment after the end of the month.

3. Stop fixed investment when the fund loses money.

Many novices stop investing because they can't stand the loss after seeing the net value of the fund fall. Under normal circumstances, in the case of a loss in the fixed investment of the fund, it is even more necessary to adhere to the fixed investment. Only by continuing to buy fund shares at a low level can we get more expected returns and reduce the average cost when the market rises, because the decline in fund net value means that the same fund can buy more fund shares.

The above content is about the misunderstanding of novice fixed investment funds, and I hope it will help everyone. Warm reminder, financial management is risky and investment needs to be cautious.