Value-based funds mainly build investment portfolios with value-added stocks. In practice, they pay more attention to risk control and pursue stable asset appreciation. For example, Dacheng Fund has maintained a stock position worth about 80% since its establishment and maintained a stable investment style. In 2006, it achieved 65,438+009.74% management performance with an average stock position of 77%, and achieved a good risk-return ratio. Such a fund can be regarded as a value fund.

What is a balanced fund?

Balanced fund is a fund that pursues both long-term capital appreciation and current income. These funds mainly invest in bonds, preferred stocks and some common stocks. The portfolio proportion of these securities is relatively stable. Generally, 25%-50% of the total assets are used for preferred stocks and bonds, and the rest are used for common stock investment. Its expected risk and return are between growth funds and income fund.

What is a growth fund?

Growth investment fund is a fund with long-term capital appreciation as its investment target, and its investment targets are mainly small companies with great appreciation potential in the market and stocks in some emerging industries. Generally speaking, such funds rarely pay dividends, and often reinvest the dividends, bonuses and profits from investment to realize capital appreciation. The expected risk-return level of such funds is very high.