First, there will be three situations in the advantageous fund market that is bought in batches. One is continuous rise, the other is continuous decline, and the third is market shock. In these three markets, if you buy in bulk, you can have the following advantages. The advantage of 1 is that it can avoid the risk of buying at the highest point, effectively disperse the fund risk and reduce the average buying cost. The second advantage is that people with more funds can invest in the fund market first, and people with less funds can take lower risks. The third is that if you continue to buy when the market is falling, you can have higher choice ability without taking too much risk.
Second, the advantages of one-time maximum purchase If the market continues to rise, one-time maximum purchase will get the maximum benefit. But it is also possible to buy at the highest point, especially in the falling market, which will face great losses and require investors to have strong psychological endurance. I feel that one-time buying is suitable for people with accurate control over the fund market, stronger risk tolerance and large amount of funds. In fact, many investors buy at the maximum limit at one time when the fund goes up, which is better, but it is also possible that you will fall after buying it, causing great losses to you.
Third, the comparison between one-time maximum purchase and fixed investment in batches In fact, some senior investors suggest fixed investment in batches, because many investors do not have the ability to choose the timing and cannot judge the market trend. At this time, fixed investment can reduce the risk. And if the market is falling, buy in batches, you can buy at a lower point, which can effectively dilute costs and reduce losses. Therefore, most investors still advise newcomers to make fixed investment in batches when purchasing funds.