1. Fund classification has many dimensions, such as investment target, management mode and operation mode. Here, Boss Jun starts with the classification of investment targets closest to everyone:

Monetary fund, savings with higher regular interest; Bond funds, funds that strive for victory in stability, these two types are too stable, and there is no need to make a fixed investment at all, so you can directly screen and buy;

Hybrid fund, flexible choice; Equity funds, which have both benefits and risks, fluctuate greatly and need the active management of fund managers, and are not suitable for fixed investment.

Index fund-low investment and high return fund. Based on the principle of tracking index, we take the constituent stocks of the index as the investment object, build a portfolio by buying all or part of the constituent stocks of the index, and track the fund products of the underlying index. Achieve synchronous growth with the market and obtain long-term stable income. This kind of fund is most suitable for fixed investment and fluctuates according to market fluctuations.

2. Index funds mainly include broad-based index and narrow-based index (industry index). The broad-based index does not restrict the industry when selecting stocks, and the industry index must select stocks within a large industry range.

Our general fund fixed investment mainly refers to the broad-based index, which is common:

SSE 50 Index: 50 stocks with the largest scale, the best liquidity and the most representative in Shanghai Stock Exchange are taken as samples, weighted by market value. Mainly large-cap stocks, all of which are from Shanghai Stock Exchange.

Shanghai and Shenzhen 300 Index: 300 stocks with the largest scale and the best liquidity are selected from Shanghai Stock Exchange and Shenzhen Stock Exchange, and weighted by market value. The number of stocks is much higher than that of SSE 50. At the same time, there are stocks of Shanghai Stock Exchange and Shenzhen Stock Exchange, covering a wider range.

CSI 500 Index: SSE 50 and CSI 300 select large listed companies, while CSI 500 Index Fund selects representatives of domestic medium-sized companies, weighted by market value. The CSI 500 Index excludes all Shanghai and Shenzhen 300 index companies, then excludes the top 300 companies with average daily market value in the latest year, and selects the top 500 companies among the remaining companies to form the CSI 500 Index.

Growth enterprise market index: 65,438+000 enterprises with the largest scale and the best liquidity are selected and weighted by market value. Many companies on GEM are still growing, and their development is not stable.

According to the market value standard, the broad-based index is the largest stock in the basket. If there are places that are not up to standard, they will be eliminated immediately and adjusted twice a year. Put the best enterprises with the largest market value in China in one basket, so there is a saying that buying an index means buying a national fortune. At present, China's overall economy is active and has great development potential. When the national movement goes up, the index goes up, which is why long-term fixed investment is bound to make money.

In addition to the market value division of broad-based index, there is also a relatively small scale but may have good long-term returns: strategic weighted index fund and industry index fund.

Strategic Weighted Index Fund: As the name implies, it is to select stocks according to certain investment strategies, such as dividend index, fundamental index, value index, low volatility index and so on (which will be introduced in detail later). For example:

Dividend index: select stocks with cash dividends and weight them according to dividend rate. There are several types of dividend indices. Here are some common examples.

Shanghai Stock Exchange Dividend Index: Select 50 stocks with the highest average cash dividend in recent two years.

CSI dividend index: Select 100 stocks with the highest cash dividend in Shanghai and Shenzhen stock markets.

Shenzhen Stock Exchange Dividend Index: Select 40 stocks with the highest cash dividend in Shenzhen Stock Exchange.

Dividend opportunity index: it is the highest cash dividend 100 stocks. At the same time, these 100 stocks must have a positive profit growth in the past three years and a positive net profit in the past 12 months. The weight of each stock does not exceed 3%, and the stock of a single industry does not exceed 33%.

Fundamental indicators: The four fundamental indicators, namely, operating income, cash flow, net assets and dividends, of each enterprise are considered when selecting stocks, which are relatively comprehensive.

Industry index: investment difficulty is greater than broad-based index. GICS, a global industrial classification standard jointly launched by Morgan Stanley and Standard & Poor's Company, divides industries into 10 primary industries, 24 secondary industries and 67 sub-industries. China is also divided according to this standard.

For example:

Necessary consumer industry indexes: there are mainly Shanghai Stock Exchange Consumer Index, Shanghai Stock Exchange Consumer 80 Index (the top 80), Shanghai Stock Exchange Consumer Index (the consumer stocks in Shanghai and Shenzhen 800) and the full index consumer index.

Financial industry index: mainly including banking index, securities index, insurance index, etc. There are many funds to choose from.

Banking and securities industry: Affected by macro-economy, there will be greater performance fluctuations. Similar industries with strong periodicity include the real estate industry.

Therefore, if you want to make money through the industry index, you must understand the characteristics, cycle and future trend of the industry. That's why the boss suggested that we start with the broad base index.

Summary: index funds are introduced here. In order to keep in mind, we can divide them into three types: broad-based index, strategic weighted index and industry index. Among them, the broad-based index has small fluctuation and low risk, which is suitable for Xiaobai who just started to fluctuate with the market, so that you can start to keep up with and pay attention to the market. After you have some experience and foundation, you can start investing in strategic weighted index and industry index to get higher returns.

3. How to select index funds?

There are several criteria:

1. Combined with the valuation, judge where the index is at present, whether to underestimate buying or overestimate selling. There are many valuation methods, such as profit rate, price-to-book ratio, dividend yield and so on.

For example, the calculation method of profit rate will find that index funds with fast profit growth or large profit fluctuation distort the valuation of profit rate, thus losing reference value. So profitability is only suitable for stocks with good liquidity and stable profitability. These stocks are generally large-cap blue-chip stocks. At present, the types of funds suitable for profitability valuation are as follows:

Shanghai Stock Exchange Dividend, Shanghai Stock Exchange Dividend, Shanghai Stock Exchange 50, Fundamentals 50, Shanghai Stock Exchange 50AH Optimization, CCTV 50, Hang Seng Index, State-owned Enterprise Index, etc. These index funds can start buying fixed investment when the income is greater than 10%.

2. Don't choose if the fund size is less than 1 100 million. The scale of the fund is too small, and it is easy to be liquidated due to excessive performance fluctuation or large redemption.

3. Choose a fund with small tracking error. Originally, index funds tracked the market index. If the following error is too large, it will lose the meaning of the index, so the smaller the error, the closer it is to the index.

4. Choose a fund with lower cost. This should go without saying.

So to sum up, index funds should be the most suitable for fixed investment of funds.