With the increasing awareness of investment and financial management, many people began to choose to buy some funds to maintain and increase the value of assets. When buying a fund, the staff will advise you not to do short-term work. Many friends will feel confused and want to know what this proposal is for. Here, I'll answer your question and explain why the fund doesn't recommend doing short-term work.

In fact, you are not recommended to be a short-term fund for three reasons. These three aspects are;

1, the fluctuation of funds is small.

Because the fund is managed by professionals, the overall operation will be relatively stable and there will be no big fluctuations in the short term. Therefore, if the fund is operated in the short term, it is difficult to obtain the expected return in the short term.

2. Short-term transaction costs are high.

Now, in order to control the frequent entry and exit of holders, increase the complexity of management and affect the overall expected income of the fund, the foundation charges higher fees for short-term holders. If the holder redeems within 7 days, a handling fee will generally be charged. If you add the cost of buying, the cost of short-term trading will be high. Therefore, if the fund does not fluctuate greatly in a short period of time, it will be very difficult to make a profit, and even it will be prone to losses.

3. The long-term performance of the fund will be better.

Generally speaking, the long-term performance of funds will be better. Therefore, compared with the short-term, the expected return held by the fund for a long time will be better and more beneficial to the holders.

Tips: Investment is risky, so be cautious when entering the market.