1. Fixed investment
When buying etf funds, investors can make fixed investment operations, buy fixed funds within a fixed period of time, and increase the position share, platform position cost and spread risks through continuous buying, so as to realize the smile curve effect when the funds rebound.
However, in the process of fixed investment, investors are advised to choose etf funds with large fluctuations and good historical performance of fund managers, which is more likely to make profits.
2. Arbitrage
etf fund is an open-end fund with variable fund shares, which combines the operating characteristics of closed-end funds and open-end funds. Investors can purchase or redeem fund shares from fund management companies, and at the same time, they can buy and sell etf funds at market prices in the secondary market like closed-end funds.
because of this feature, most investors can arbitrage by using the off-exchange price difference, that is, when the etf price in the market is greater than the net value, that is, the fund premium, retail investors can buy a basket of stocks from the secondary market, then convert them into etf fund shares in the primary market according to the net value, and then sell the etf at a high price in the secondary market to complete arbitrage.
when the etf price in the market is less than the net value, that is, when the fund is discounted, retail investors can buy etf fund shares at a low price in the secondary market, then redeem the shares at the net value in the primary market, and then sell the shares in the secondary market to complete arbitrage.
It should be noted, however, that retail investors must make use of the difference between the on-site price and the off-site net value of etf funds to arbitrage, and the income they get must be greater than the transaction cost, because the fund also has a certain handling fee, otherwise it will not be worth the loss.
3. Diversified investment
Although etf funds are less risky than stocks, ETFs are not risk-free. It is suggested that investors can also diversify their investments to reduce their risks when purchasing. However, when diversifying investment, the number of investment funds should not be too large, usually three to four, which will increase the burden on investors.
4. Buy wide base classes
This method is more suitable for novice investment, and it is recommended to buy index funds such as CSI 3 and CSI 5.