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What is the significance of fund valuation?
When many investors buy funds, they are concerned about the fund valuation. Fund valuation is also an important index for investors to refer to when purchasing funds. Because the market is fluctuating, the fund valuation fluctuates every day. So many investors will be more concerned about where the fund valuation is. Is it high or low?

It should be noted here that the quality of the fund is not directly related to the valuation of the fund. Low fund valuation does not mean that there is no risk. The valuation of the fund is high, so it can't be said that there is no income from venture capital.

Therefore, when we invest in a fund, we can't just care about the valuation of the fund, whether it is high or low. This is just a reference for our investment. More importantly, the key issue should be whether the fund has invested in stable products. This is what we need to care about. You think the valuation is high now and it may be higher in the future. If you think the valuation is low, you can bargain-hunting, and it may be lower in the future. There is a saying that the strong are always strong. If you think the valuation is too high to buy, then it is really difficult for investment funds to make money.

When we consider the risk of a fund, we can't just look at the net value of the fund, because the fund has its own advantages, and its advantage is that it can diversify the investment, so the fund can effectively diversify the risk and try to control the risk within a range, that is, we can't put the eggs in the same basket, which is the fundamental guarantee for investors' low returns.

So to sum up, we really need to refer to the valuation of the fund in our investment, but the valuation of the fund is not the most important. Whether a fund is good or bad, the most important thing is to understand what its connotation is. That's all that matters.