Should the fund be sold if it falls?
You don't have to sell the fund when it falls. Although selling funds is the fastest stop loss method, it is not the best stop loss method. Whether the fund should be sold after falling needs to be comprehensively analyzed and considered through the future development prospects of the fund, the market of the fund investment target and the ability of the fund manager. After all, the fund will not keep falling, and if it falls again, it will definitely rise. For cautious investors, selling after the fund falls can reduce even greater losses; For radical investors, the decline of funds is a good opportunity to cover positions. By covering positions, the cost of holding positions can be reduced, and the fund can rebound or even make a profit when it rises.
Has the foundation been falling?
No, the fund has been falling and will not fall to zero, because after the fund has been falling to a certain extent, the fund will be liquidated. After the liquidation of the fund, the remaining funds will be distributed according to the share held by investors, so the fund will suffer heavy losses only if it continues to fall, and it will not be wiped out. For graded funds, after falling to a certain extent, the foundation will trigger a discount, so the fund will not lose money.
After the fund fell, when the market became better, the fund began to rise; The fund has been falling because the investment target of the fund has fallen. When the downward trend of fund investment targets ends, it will slowly start to rise, and the fund will naturally start to rise. Generally speaking, after the fund falls, as long as it is not a particularly bad fund, if it is held for a long time, it will eventually recover a lot of losses. For investors who have bullets to cover their positions, the decline of the fund is not terrible, because it will be earned back sooner or later.