Can the fund keep going up and down to make money?
Capital always goes up and down, and whether we can make money is related to our operation. Many investors are prone to "panic" when the market fluctuates and make irrational choices.
But in fact, if the market does not appear extremely overvalued and the fund positions do not appear extremely overvalued, in the long run, the probability of making money is still great.
Here are some suggestions for this turbulent market.
1 Avoid frequent operation.
Funds can indeed reduce costs by buying low and selling high, but it must be noted here that the transaction costs of OTC funds include subscription fees and redemption fees, which makes the transaction costs of funds obviously different from those of stocks.
In addition, compared with the rise and fall of stocks, the fluctuation of funds is small, and frequent "selling high and sucking low" can not reduce the cost of holding positions well. If the increase is not big, it may be that the income we sell is not enough for our handling fee.
2 market volatility, lightening positions
If the current market is at a high level and our fund positions are relatively high, there will be shocks at this time, so we can lower our positions first and respond to market uncertainty more flexibly. When the market rebounds, we have a certain position. If the market falls, we can reduce the cost.
3 Do a good job in fund portfolio allocation
When the stock market is good, under normal circumstances, the proportion of funds invested in partial stock funds may be higher. If the market is at a high level, we can optimize the fund portfolio and increase the proportion of debt-based and goods-based investments. The position of high-risk assets is not suitable for being too aggressive, and attention should be paid to dispersing and balancing risks. At the same time, the stock market and bond market often have a seesaw effect. When the stock market is poor, investors' funds will flow into the bond market for investment, which will lead to a large inflow of funds in the bond market, which will lead to an increase in the bond market.
4 Deal correctly or vote with peace of mind
If the market continues to fluctuate, many people will suffer greatly and worry that "the market will fall for a long time". If our risk tolerance is relatively small, we don't have to rush into the market and wait and see. When the market outlook improves, or there are multiple good news, the market sentiment will pick up and boost. Although this right-hand trading strategy may miss the initial rebound, overall, the risk is small.
If you are optimistic about the follow-up market for a long time, or believe in the ability of the fund manager, then you can continue to vote according to your own plan. However, it is easy to ignore the fixed investment, that is, to take profit in time.
It is necessary to know that although the fund's fixed investment is a long-term investment, there is also a time limit, so we must learn to take profit in a suitable position. Generally speaking, bull market and bear market are the best nodes for a long investment cycle, especially the China stock market is still in a short-term state, so it is necessary to find the right time to take profits when the bull market comes.
If you don't stop the profit in time, it is likely that the income will never return in the subsequent decline, or the original floating profit will become a floating loss and miss the opportunity to lay a good job.