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Two Skills for Masters to Buy Funds in 2022
Two Skills for Masters to Buy Funds in 2022

It is also an investment fund. Why do some people make money and others just lose money? There are many reasons for fund losses, some of which are unfamiliar with the fund. So what skills do experts have to buy funds? Today, Bian Xiao compiled some knowledge about experts buying funds for everyone. Let's have a look!

Two Skills for Experts to Buy Funds

1. Know how to allocate funds.

Different types of funds represent different risks and returns. Some investors will analyze according to their risk tolerance and allocate funds reasonably. For example, if they don't want to take great risks, they will choose a combination of money funds and pure debt funds. If you can bear certain risks and want to pursue certain returns, you may choose a combination of equity funds and pure debt funds.

Rational allocation of funds can effectively reduce risks and improve returns. For example, in order to pursue income, investors will all invest in stock funds, which will be very risky. Generally, it is not recommended to invest in the same type.

2. Holding funds for a long time

Frequent trading of funds requires fees, and the selling rate of funds is generally divided according to 0~7 days, 7~365 days, 365~730 days or more. The longer the holding time, the lower the selling fee rate. If the holding time is too short, the short-term fluctuation of funds will be relatively large, and long-term holding of funds can reduce the fluctuation risk brought by short-term funds. When buying a fund, it is generally recommended to choose one.

Pay attention to buying funds.

Some people buy funds, they all listen to others, make money, buy them themselves, and then leave them alone. Then when they remember, the fund may lose money to the principal.

In fact, when buying a fund, the same fund may make money or lose money. For example, A investment fund will be redeemed after making money, and A will tell B to make money. When B sees A's fund income, he will think that he wants to make money, so he knows nothing. I don't care if I buy it, thinking that the fund will make money after a while.

Then after a period of time, B will find that there is less money in the fund and will lose money to the principal. This is because when A bought the fund, the fund was at a low level, and then after the fund continued to rise to a certain high level, A redeemed the fund to make money.

However, B heard that A made money and bought it. At that time, it was just right to buy at a high fund level. After the fund continued to fall, the foundation suffered losses. This tells us that when buying funds, don't blindly follow the trend, and you must know something before investing in funds, otherwise it is easy to suffer.

Select fund indicators

1, select fund companies

Look at the ranking and rating of fund companies first, and then look at the investment style of fund companies. We can analyze the income by looking at the products of fund companies. If the investment style is radical, focusing on the pursuit of income, we should consider our own risk tolerance.

2. Choose a good fund manager

The first is to look at the historical performance of the fund manager, whether the fund manager has worked in the fund company for a long time, whether the performance belongs to stable growth, investment ability, return on employment, maximum retreat and so on.

Secondly, the investment philosophy of fund managers. Some fund managers' investment ideas tend to pursue income, so the fluctuation of funds may be relatively large, and investors should consider their own affordability.

3. consider the size of the fund

Generally speaking, it is enough to choose a moderate fund size. If the scale of the fund is too small, when the market is not good, the fund will continue to fall to a certain value, and it will go bankrupt and be liquidated, and there is a risk of liquidation.

However, it is not good for the fund to be too large, because the fund manager is not good at changing positions and management, so everyone should consider many aspects when choosing the fund size.