To build a complete fund portfolio, we need to fully consider our own risk tolerance, rationally allocate assets, and so on. What are the common fund portfolio strategies?
Different types of configuration combinations
Portfolio consists of different types of funds, which can reduce the risk of portfolio, such as the combination of stock funds and bond funds, make full use of the seesaw effect of stock and bond markets, spread risks and obtain investment opportunities in different markets.
Core plus satellite portfolio, the main part of the portfolio, that is, the part occupying the main position, selects the fund with stable investment style and relatively small historical retracement, and the secondary part, that is, the part with small position, selects one or more funds with strong subjectivity and staged opportunities.
Style balanced combination, which combines different styles of funds to achieve the purpose of risk diversification and balanced allocation, such as the combination of large-cap funds and small-cap funds, the combination of growth style funds and value style funds, or the combination of A-share funds and overseas funds.
Flexibly adjust the investment portfolio and rotate the allocation between different styles according to the performance of the fund. This fund portfolio is relatively flexible, so it will be relatively difficult to operate and the expected rate of return will be higher.
The above different fund portfolio strategies are to classify funds from different angles and then allocate them. Their main feature is that they can spread risks and capture different investment opportunities.