However, a large number of investors in the market have not mastered the way of fund investment, so that they are not doing very well. Fund investment is an investment method focusing on future long-term income.
Do the following five points, fund investment is actually not that difficult.
First, establish a fund investment portfolio to reduce risks.
Risks and benefits complement each other. As a fund investor, you must first be clear about two things, one is your risk tolerance, and the other is your income target. Don't blindly follow suit.
Personal risk tolerance is related to many factors, such as age, family economic status, psychological quality and so on. You can build a complete fund portfolio according to your risk tolerance. Through the combination of funds, risks can be effectively dispersed and benefits and risks can be balanced.
The different risk-taking ability determines whether the fund portfolio is more defensive or more offensive. Different family and financial conditions affect investors' investment objectives, and different investment objectives affect the combination of funds. For example, a family's biggest investment goal is to buy a house, so the fund portfolio he chooses should be more conservative.
Second, learn to check the fund rating.
If you are an office worker, you want to preserve and increase the value of your assets through fund investment, but you are usually busy at work and don't have much time to study the fund. You should always pay attention to the market dynamics, or study the regular reports and prospectus of the fund.
It may be a good idea, simple and effective to check the rating of the fund regularly. The rating agencies in the market are all approved large-scale institutions with rating qualifications.
Moreover, the fund rating is not only aimed at performance, but also combined with the risk control of the fund to conduct a comprehensive evaluation. Therefore, it is a good, simple and effective method to know the funds you invest in by referring to the fund rating.
Third, identify excellent fund managers.
The influence of fund manager on a fund is self-evident, especially for active funds, the fund manager is the soul of a fund. When you know a fund, you should focus on the fund manager. Excellent fund managers can hold funds when the market goes up and control withdrawal when it goes down.
Pay special attention to the investment style of fund managers. The so-called investment style is the investment characteristics of the fund investment concept. For example, some fund managers are good at growth stocks, while others are good at grasping the investment opportunities of blue-chip stocks.
Therefore, it is very important to choose a fund manager that suits your investment style. In addition, fund companies operate in groups, and it is also important for different fund managers of funds to be good at various styles.
Fourth, the stability of the investment research team.
As we all know, managing a fund is not the result of the fund manager alone, but the win-win cooperation of the whole research team of the fund company. The investment and research support of the research team behind the fund manager is very important.
In addition, fund management and the stability of investment and research teams play a vital role in the performance of the fund.
A stable fund team can fully guarantee the continuity of investment and research style and the investment performance will be more stable. If the management team and research team of a fund company change frequently, the previous investment strategy will be easily destroyed and the continuity of fund performance will be difficult to guarantee.
Fifth, avoid funds with high turnover rate.
From the perspective of long-term investment, it will be better if the turnover rate of the fund is relatively low. Maintaining a low turnover rate shows that it is a valuable investment for fund managers to stick to their own investment philosophy. Of course, the turnover rate is not absolute. If fund managers are radical in style and tend to constantly capture the investment dividends in the market, that is another matter.
But in the long run, adhering to the concept of long-term investment is consistent with the original intention of fund investment. Few fund managers can really change with the market.
I hope the above contents are helpful to you.