First of all, we can say two situations, and you can compare the seats:
When the fund falls, you think it will rebound. As a result, you begin to doubt your life. There must be friends who have encountered this situation. When the fund fell, he was comforted that it would rebound one day. You should believe in the smile curve, and the more you fall, the more you fall. Although Jamlom rebounded in the medium term, it never recovered, let alone made a profit.
If the fund falls, it will be sold, and as a result, it will rise as soon as it is sold. Some friends sell their funds as soon as they fall, then go up as soon as they sell, and then regret it. Then they will buy quickly and then sell down. In the end, you will fall into the result of chasing up and down, and you will not make money.
To sum up the above two situations, it is a novice behavior. Essentially, they don't understand money. They just follow the trend or listen to the opinions of some masters. How can they make money if they don't understand the investment logic?
Let's talk about how to sell and how to buy the fund when it falls.
Several situations in which the fund must be sold when it falls. If the investment logic deviates or reaches a high level, it must be sold. Let me talk about it in combination with the actual situation:
Take index funds that people invest heavily in as an example. First of all, you need to know which index funds are there, what is their average value, what are their highest and lowest positions, and how high they remain all the year round. Then when you buy a fund, you should buy a below-average index fund, and then return to the usual number of digits, which may fall. In the face of such a decline, we must lighten our positions, otherwise the index has risen to a very high position and the fund will definitely fall. At this time, you should also sell it.
Also, after the fund team is changed, if there is a big drop, it will be sold.
Don't be afraid that the fund has fallen. It is normal for the fund to go up and down, otherwise there will be no smile curve, so don't worry about the following:
If these conditions have not changed, there is no need to worry about a slight decline in the foundation.
I hope my answer is helpful to everyone.
Why must the fund be sold when it falls? Because this man is talking nonsense.
Why did the fund fall? Because the fund invests in stocks and financial assets, but when the price of the financial assets it invests in falls, it will fall. So are there any stocks that only go up but not down? There will be no stock decline at all, as are Alibaba, Tencent, Intel and Amazon. Kweichow Moutai will also fall, and so will Gree Electric.
So there is no stock that will not fall, so there is no fund that will not fall. Of course, what I am mainly talking about here is equity funds. For example, there are some funds, bond funds and money funds that can really achieve stable returns, which are not discussed here.
Therefore, if the fund falls, it must be sold. This statement is very outrageous. Fund investment should adhere to long-term investment, and for ordinary investors, it is best to adopt the method of fixed investment and increase the intensity of fixed investment in the down stage, so as to smooth market risks and reduce their investment costs, and when the fund enters the rising market, it can easily make profits.
Think that the fund must be thrown down, in fact, the fund as a stock, as a short-term speculation, with the stock market chasing up and down is the same. That's the truth. If you fall, cut it immediately. If you grow, chase it in. However, few people make money in the stock market, and few people can make money in the same fund.
In the investment field, no matter what kind of investment, it is inseparable from the concept of stop loss. The market is changing rapidly, the bull is short and the bear is long, and the net value of the fund is ups and downs. Many people have encountered such a situation: the front foot just stopped and the back foot was pulled up; After careful consideration, the fund has been falling.
It is simply too difficult to be an investor. Whether to stop loss and how to stop loss have become the concerns of many investors. We can't simply answer this question. We need to give targeted answers according to our financial objectives, risk preferences and the types of funds we choose.
First, from the perspective of funds with different investment targets, first, if you choose a money fund, there is absolutely no need to stop loss. In a high probability, the money fund has no concept of loss, only the problem of high and low income. Even if it falls below the face value, it will rise back sooner or later. Money funds mainly invest in highly liquid assets such as government bonds, bank bills and time deposit certificates, which are relatively safe.
Second, if you choose a stock fund, you should consider the concept of stop loss. If you are in a big bull market (hot economic period) and your stock fund loses money, you should consider stopping loss, because it may fall further.
If you are in a big bear market and your stock fund is losing money, don't worry, because it is already at the bottom. You can even consider whether you are in the economic recovery period of bear-cow conversion, whether you want to add positions and reduce costs.
Third, if you choose a bond fund, then you should consider whether to raise interest rates or cut interest rates. In the environment of raising interest rates, bond prices will fall and your losses may increase. Stop loss can be considered. On the other hand, if you cut interest rates, you don't have to stop.
Summary: Different types of funds have reference to the price fluctuation of their respective investment targets, and it is necessary to comprehensively judge the changing trend of investment targets to decide whether to stop losses.
Second, from the investment mode of the fund, the investment of the fund is nothing more than two ways, one is fixed investment and the other is one-time purchase.
For fixed investment funds, the lower the price, the more excited investors should be, because the cost of the fund has been lowered, so there is no concept of stop loss. On the contrary, fixed investment funds should consider taking profit-taking measures.
A year later or even many years later, we will see if the fund is profitable. If it is not profitable, we will continue to vote. If it is profitable, we will set a profit-taking line according to our investment and financial management goals. Quit at any time above the take profit line to prevent the income from falling back, and you need to wait for the next cycle.
If it is a one-time purchase, you can refer to the content described in the first section for analysis. According to the type of your own fund, you can predict the corresponding economic environment and judge whether you should stop loss.
Summary: Fixed investment redefines the concept of loss. Redemption of fund "loss" now is called loss, and redemption of "loss" in the future is called cost.
When you know whether the fund should stop loss, you enter the second link, how to stop loss. Someone will definitely say, "Isn't stop loss a matter of selling funds?" Yes, selling the fund is a stop loss, but it only completes the first step of the stop loss.
Stop buying funds after the stop loss? If you continue to buy funds, will you go back to into the pit and buy the same goods as the funds you just stopped? Stop loss is to put money into a better and more suitable fund. Then the question is coming, how to stop loss?
First, a single portfolio has only bought one fund before, and the appreciation expectations of all funds are pinned on this fund. If you want to stop loss, you can only redeem it. When you buy again, you can turn one fund into two or more funds according to your previous investment experience.
This operation method is not only to stop the loss in the past, but also to lay out the future.
First, stop loss
Sometimes, your stop loss is ambiguous, and you are sad about the decline in the net value of the fund, but you still have a glimmer of hope for the future. What should you do? Redeem half of the funds and buy other types of funds.
For example, I bought a stock fund at the beginning. If you want to stop loss, you can redeem 50% and use the redeemed funds to buy bond funds. This is conducive to the fund's timely hedging during the market shock period, and we must not miss the fund's rising dividend.
Second, the layout
When you have two or more different kinds of funds, you can calmly observe these funds, check the trend of funds in the past 30 days or even longer, and choose to stay or stay.
This is like letting several funds compete and leaving the fund in the dominant fund by eliminating the relatively inferior fund. Of course, we should pay attention to the frequency of changes. There are so many funds, and funds with advantages are not often encountered. If you change frequently, you may have to pay subscription fee and redemption fee for all your income.
Conclusion: Don't put your eggs in one basket, which is a recognized rule in the investment community. The "different baskets" here not only refer to different investment products, but also include different types in the same investment product.
Second, the adjustment of portfolio strategy If you already have a certain portfolio, when you need to stop loss, you can stop loss by changing the type of fund.
During the period of market volatility, the income of equity funds can not be guaranteed, so let the proportion of equity funds in the fund portfolio decrease and the proportion of bond funds increase.
With the economic recovery and the arrival of the bull market, the ratio of bond funds to money funds will be reduced to make way for stock funds.
Summary: Portfolio investment has many benefits, and the investment strategy can be adjusted in time according to the change of economic environment, thus affecting the overall income of portfolio.
Summary: Funds are different from stocks. Stocks are traded by themselves, and everyone's level is different, and there are many times when mistakes are made. Even many people stop when the loss reaches 10%.
Funds are run by professional fund managers, who study all day and are supported by teams and data, so the possibility of operational mistakes is extremely low. The investment level of fund managers is higher than most of us, so think twice before stopping the fund.
Even if the fund manager's investment level is high, he should resolutely stop the loss when he is determined to stop it. However, when he stops, he won't sell it all at once. He wants to lengthen the stop loss procedure, make portfolio investment as much as possible, and stop the loss by adjusting the investment strategy.
Who told you to throw it and spank him? You don't have to throw down, you can continue to invest, hold for a long time, reduce costs, wait for the cycle to reverse, and form a smile curve. Will be full of income.
First of all, this problem cannot be generalized. The rise and fall of funds is the price fluctuation of financial assets or products linked to them. As for the fund falling, it must be sold, which is not necessarily right. As time goes by, gold will definitely rebound, and it is not always right.
The fundamental way for us to judge the rise and fall of funds is to analyze the funds held by their funds, investment fields or products. The prospect of this field or product is the fundamental factor that determines the fluctuation of fund price.
It is blind to wait for the fund price to rebound, and it is even more blind to sell the fund as soon as it falls. In financial investment, it is more important to have a clear understanding of investment fields and products (such as funds and stocks). ), and don't blindly follow suit.
Or the concept of reference value investment is also excellent. You need to clearly understand the gap between the real "intrinsic value" and the actual value of the fund you invest in. This provides an important reference standard for your business. In other words, if the price of your fund is lower than its value, you should not sell it. If the fund price is higher than the value, you can consider selling it.
The fund has fallen and will definitely sell. This is a typical retail behavior, which will only increase losses. If you often do this, then I suggest you learn professional fund knowledge and investment skills, otherwise selling it as soon as it falls will only slowly consume your principal, and the more you invest, the more you lose.
It is normal for funds to fall, because funds that invest in financial assets, such as partial stock funds, will buy stocks in more than 90% positions, and stocks will definitely only rise and not fall. Isn't it normal to fluctuate up and down? The corresponding partial stock funds will also rise and fall, and many times the fund decline is just a normal market behavior.
If investors are affected by short-term market fluctuations, they are eager to sell immediately if they have a slight loss, which is likely to increase investment costs and losses. If the fund falls, whether to sell it or not, we must first find out the reasons for the decline of the fund. If it is only a short-term market impact, then in the medium and long term, continuing to hold it will not have much impact, and there is no need to rush to sell it.
Under certain circumstances, if the fund falls and is no longer optimistic about the long-term market situation in the future, then it is understandable to sell, stop the loss in time, and stay in the green hills, not afraid of burning without firewood. All operations should be based on the analysis of the reasons for the decline of the fund, and then prescribe the right medicine.
Of course, as time goes by, not all funds will rebound one day. If the fund keeps losing money, many investors keep redeeming it, and the scale of the fund shrinks, there is the possibility of liquidation, so it has no investment value. Even after a long time, there will be no chance to turn losses into profits, so the premise is that the investment fund is of high quality, valuable and can be held for a long time.
Investors have listened too much, but they still can't make a good investment. Even if the quality of the fund in hand is very high, it is inevitable that the market will fluctuate violently in this process. If the mentality is shaken, the idea of redemption will arise. Especially in the long-term decline, most investors can't stand the loss, so they will sell the fund. Firmly holding funds, many investors can't do it, so frequent losses are the reason.
Must the fund be sold if it falls? What theory is this? It is normal for a securities asset to go up and down! I don't know if this is your own research or hearsay. No matter where you get the conclusion, the answer is no!
Of course, it is discussed in two parts here, because there are many types of funds, including currency type, stock type and hybrid type! Only the money fund can achieve stable income, but these are only rising and not falling. Monetary funds are generally investment bank deposit certificates, government bonds, and reverse repurchase of government bonds. These financial products will fluctuate. If there are fluctuations, monetary funds will fluctuate accordingly, but they are all very small and can be basically ignored. If there is a cliff-like decline, they may have to be sold. If there is a cliff-like decline, the only possibility is financial risk, but financial risks will still come.
In addition, there are equity funds, which mainly invest in stocks, such as SSE 50ETF, CSI 300ETF and chip ETF. These are all investments in the stock market, and it is normal for the stock market to fluctuate. If there is fluctuation, then the fund will definitely fluctuate, which is the same as buying stocks. When the stock goes up, you make money, and when the stock goes down, you lose money. To put it simply, the fund is to concentrate funds to buy stocks, and it is normal to have fluctuations. Therefore, it is wrong to sell it if it falls.
Investment funds are a relatively stable way to manage money. The best way for retail investors is to invest in the fund, rather than buying it after it has gone up, which is no different from chasing up and down stocks!
Must the fund be sold if it falls? Not necessarily. Sometimes many funds fall and some institutions will increase their holdings.
Your theoretical basis is to take profit and not stop loss.
This does make sense, but it also has its effective scope.
First of all, as long as your fund is not sold, no matter how much it loses, it is a floating loss on the book, but once it is really sold, it is a substantial loss, so from this perspective, there is no need to sell it.
Secondly, it is reasonable for many people to share their positions equally and reduce the cost of holding positions by reducing their positions. If the fund rebounds slightly, it will turn losses into profits.
Finally, to put it bluntly, I believe that holding it for a long time will definitely rebound.
But the real situation, there will be many places that do not conform to this theory.
First, if the fund you hold is in a bad situation recently, such as catching up with a big crisis, and no stock or fund can be spared, then the later you sell it, the worse it will fall. In this case, investing early equals earning.
Second, there is something wrong with the selected single fund. Whether the stock held by this fund has no general trend for a long time or there are various problems in the fund, it means that it is difficult to reverse in the later period and it is necessary to stop the loss decisively.
Third, trapped. Because in order to cover the position in the later period, all the funds are tied up by this fund, and many good opportunities you may encounter in the future can't be grasped. This intangible loss is unexpected.
Finally, the rate of return, which has two aspects.
First, you may have held it for three years before you can repay the principal, but you can get an annualized rate of return of 5% after three years of normal deposit in the bank. Do you think this is a loss?
Second, as we all know, it has fallen by 50%, and it needs to be increased by 100% in the later period to return to the original cost, which is also a bit high.
Therefore, my personal experience is that there is no 100% unchangeable method. Everything depends on the actual situation. The fund is dead and people are alive.
It is very good to have a sense of stop loss when investing, but it is not advisable to stop loss blindly.
0 1 Do you have to sell the fund when it falls? There has been a saying among the broad masses of the people: take profit without stopping loss. This view may not be completely correct, but it is certainly wiser than "selling the fund when it falls". We simply divide funds into three types: money market, bond market and stock market, and judge them according to these three different investment targets.
① Money market
The funds invested in the money market are mainly money funds, but the money market is mainly credit instruments such as treasury bills, commercial bills, bank acceptance bills and negotiable short-term deposit certificates, which are highly stable and safe. There is basically no possibility of a decline in the money fund. The only possibility is the level of income, so you can ignore the money fund.
② Bond market
Bond funds are the main investors in the bond market, which are relatively stable and safe. However, the fluctuation of bond market is closely related to the change of market interest rate. Generally speaking, interest rates rise, bond yields fall, interest rates fall and bond yields rise.
Summary: If you hold a bond fund, it is understandable to sell the bond fund immediately after it falls in the environment of raising interest rates. For example, after May 1 day this year, bond funds have been in a downward trend, and if they stop at the beginning, they can still keep a large part of their income; Of course, there is no need to worry if you can't recover the loss in time. The callback is temporary. Bond funds are varieties that show returns in the medium and long term. If you hold it firmly, you can quickly return to your profit after the callback.
③ Stock market
Index funds and stock funds are both funds that invest in the stock market. Even when the market makes money better, hybrid funds will have a lot of money to invest in the stock market. There are no stocks that have been rising in the stock market, which also doomed the net value of funds to fall, but long-term investment funds are different from stocks, which can reduce investors' investment risks and increase returns.
The net value of the fund fell sharply. If the net value of the fund falls only because of the market, it is an opportunity for fund experts, because at this time, the same fund can buy more fund shares when the market reverses and get more income quickly.
Conclusion: Different types of funds have different choices, but due to the characteristics of fund investment, they are more inclined to hold firmly or even make up a certain proportion.
Under what circumstances should it be sold? The fund has fallen, and it is more appropriate to sell in these three situations.
① Bond funds encounter long-term upward interest rates.
As mentioned above, the income of bond funds is closely related to the market interest rate. If the market interest rate is expected to rise for a long time due to monetary policy or fiscal policy, it is more appropriate to sell the bond fund when it falls. In the long run, you can make a profit even if you don't sell it, but why should you make less profit? It is a better choice to wait until the callback is over.
(2) similar stock funds are reversed.
In fund investment, the general fund name will tell us what kind of stock to invest in, such as XX technology stock fund and XX consumer fund. This allows us to easily classify funds by department.
When the fund falls, we can judge whether to sell it according to the performance of the held fund in similar funds. If it is consistent with the performance of the same type of fund, it may not be sold, but if it is contrary to the performance of the same type of fund, it must be sold as soon as possible.
For example, if the funds held fall, but most of the funds of the same type also fall, then it may be the decline caused by market reasons. The market correction is normal, so don't worry, you can even increase your position in a small proportion; However, if most of the same type of funds still have good returns, it may be the ability of fund managers. In this case, sell the funds held in the early days and switch to other funds with better returns.
③ Overvaluation
There are three kinds of valuation of general funds: undervaluation, normal valuation and overvaluation.
We don't have to worry too much in the low valuation area and the normal area, but if the fund is in the high valuation area, or even far beyond the high valuation line, then we need to be cautious. If there is a decline, it may be a sustained long-term decline, returning to normal areas or even undervalued areas, leading to profit-taking or losses. Of course, it is not excluded to break through the high point of the fund's net value, but it is not cost-effective to use too high a risk to get a little profit. When investing, we must be rational enough to maximize the risk-return ratio.
As time goes by, because the market is cyclical, the rise and fall of the stock drives the change of the fund's net value. Indeed, for most funds, even if there is a decline, it will rebound with the passage of time, which is also the reason why the fund stops profit and does not stop loss, because with the rebound, we can still return to our capital or get a lot of income. (It is best to cover the position when the net value is low)
Not all listed companies have development potential, and there are also "junk stocks" that have been delisted. For funds, there will also be funds with very poor performance. If you encounter some funds with poor performance, even if the stock market rises, the fund's income will not go up, and even because the stocks in the positions are not performing well, the fund may not necessarily rebound.
To sum up: for most funds, they can continue to hold firmly when the fund falls, and even make up their positions in proportion; But for a few funds, if there is a decline, it is also a good choice to sell immediately to avoid greater losses.