In the previous article, we introduced the basic idea and operation method of fixed investment of funds to everyone. We have always stressed that the fund investment should adhere to the long-term fixed investment, but the investment always hopes that the more profits, the better. If the time cost of funds is too high, it will lose the meaning of investment. So what methods can bring higher returns to the fund's fixed investment methods?

Someone once summed up three tips for fixed investment of funds. One is to buy when the valuation is low; The second is to sell when the valuation is high; Third, when the whole people began to discuss the stock market, they decisively took profits and settled down. These three can be said to be the wisdom of investment funds, but it is a pity that many people understand the truth, and it is difficult to do it in real practice, or it is difficult for ordinary investors to predict when stocks are overvalued and undervalued. For example, when the stock market rises sharply, are you willing to take profits or even clear positions in time? Can you stay awake when the stock market plummets and not blindly cut the meat, but boldly bargain-hunting?

If you can do these three things, it is estimated that they are all immortal, so people who make money are all masters of anti-humanity. Unfortunately, we are all ordinary people, and sometimes we need some mandatory rules to regulate our investment behavior; Or provide some indicators to help us judge when it is suitable to buy and when it is suitable to sell. The following will introduce you to the "fool's fixed investment method", one of the three methods of fund fixed investment.

first, what is the fool's fixed investment method

The so-called "fool's fixed investment method" is actually to invest in funds at a fixed time, that is, to invest a fixed amount of money to buy funds every time (monthly or weekly). In the previous article, the fixed investment of the fund was made in this way. For example, I am optimistic about a fund A, and I decide to use the fool's fixed investment method for monthly investment, so I can take out 1 yuan to invest in the fund on a fixed day of each month (for example, the 5th of each month).

At present, most funds support this fool's fixed investment method, which can be set on both third-party platforms and mobile apps. You can set it in your familiar fund purchase channel.

second, the advantages of the fool's fixed investment method

for office workers, the fool's fixed investment method is the most time-saving and labor-saving. We don't need to stare at the market every day, and we don't need to calculate all kinds of data every time we make a fixed investment. For office workers or friends who don't have much time to manage the fund, the fool's fixed investment is simple and effective, which can spread investment risks. The so-called avenue to Jane. As long as you can persist, a fool's fixed investment can still guarantee the income. So what is the profit of a fool's fixed investment?

Let's take E Fund Shanghai-Shenzhen 3ETF Link Fund as a test. In order to make the test more fair, our test time span is 4 years, including both the bull market in 21 5 and the current bear market (from June 1, 213 to July 1, 217). Set the 5th of each month as the fixed investment date, and see which investment method has higher income between one-time investment and monthly fixed investment.

Finally, it is concluded that the annualized rate of return of the fool's fixed investment method is close to 13%, which is 2.1 percentage points higher than that of the-second-time buying fund, and it is not necessary to invest all the funds at once, so as to avoid occupying a large amount of funds for a long time. It can be said that the fool's fixed investment has exceeded the annualized rate of return that most investors can obtain, so as long as the fool's fixed investment method is adhered to for a long time, it is possible for ordinary people to obtain higher returns in the market.

iii. Shortcomings of fool's fixed investment

Of course, the fool's fixed investment method is not without its shortcomings. Compared with one-time investment, the absolute income of a fool's fixed investment is different. Although the annualized rate of return of the fool's fixed investment method is higher than that of one-time investment, especially when the market valuation is low, there are not many low-valued chips accumulated, so it is not as good as one-time investment in absolute yield.

however, these data are all back test data. If we let the scene reappear, can we really buy in large quantities at the lowest point in the market? It's too difficult. The market has no rules to follow. Generally speaking, the original intention of the fund's fixed investment rule is to average the market risk and obtain the average income of the market. Therefore, under the premise of effectively reducing risks, the fool's fixed investment method is more suitable for most ordinary investors.