The sponsor of a fund company is an institution engaged in securities operations, securities investment consulting, trust asset management or other financial asset management. What people usually call funds mainly refers to securities investment funds. There are three main analysis methods for securities investment: basic analysis, technical analysis, and evolutionary analysis. Basic analysis is mainly used in the selection of investment targets, while technical analysis and evolutionary analysis are mainly used in time and space judgments of specific investment operations. as an important supplement to improve the effectiveness and reliability of investment analysis.
How to choose a fund for investment:
Broadly speaking, a fund is a certain amount of funds established for a certain purpose, such as common social security funds, provident funds, etc. Foundation; in a narrow sense, a fund is a fund with a specific purpose and use. The funds we are going to learn about today are securities investment funds. Funds, like stocks, are an investment method in the securities market. For novices with no investment experience, the risk of investing in funds is lower than that of stocks, but they must learn and understand before doing so. Today we will focus on sharing the method of selecting funds based on the six major criteria for selecting funds.
1. Fund net value trend
Pay attention to observe and summarize the fund net value trend.
2. Fund types
You should select funds based on your own risk tolerance. Funds with fast net worth growth will also have greater investment risks. Investors with strong risk tolerance can choose stock funds; investors with weak tolerance can choose bond funds. In addition, investors who need to maintain liquidity can choose currency funds.
3. Investment objectives
When investing, you must plan ahead, rather than investing blindly. The same goes for investment funds. If you want to achieve short-term goals, don't choose stock funds; if you want to achieve medium- and long-term goals, you can choose index and stock funds to obtain long-term investment returns.
4. Fund costs and fees
Funds are also a commodity. Good quality and low price are always the pursuit of consumers. Being able to purchase more fund shares with less funds is the most important thing. Nothing better. Because of this, fund companies with better growth potential and good services also charge higher fees. Don’t just rely on cost and rate concessions, but choose the best among the best.
5. Fund managers
Choosing funds with excellent fund managers from excellent fund companies can help investors obtain relatively stable returns in the unpredictable market. Investment experience is also very important in fund operations.
6. Proportion of fund investment
If you dare to invest in funds, you must consider the relationship with the proportion of family income. You cannot put the funds in one basket. In layman’s terms, You cannot buy all your funds into funds, especially funds with higher risks.