Each fund product has its own unique investment strategy, and the corresponding investment skill is to understand the skills to better obtain the expected annualized expected return from investment, so how to choose bond funds? What are the investment skills?

Investment skills of bond funds;

Investment tip 1: Although bond funds are relatively less risky financial management methods, they still have certain purchase risks.

Mainly linked to the central bank's interest rate, especially in the environment of raising interest rates. When the annualized interest rate is expected to rise, the bond price will fall, so the bond fund may lose money. It is suggested that investors should always pay attention to the expected annualized interest rate changes of banks when operating.

Investment tip 2: the rise and fall of bond prices is inversely proportional to the rise and fall of expected annualized interest rates.

When the annualized interest rate is expected to rise, the bond price will fall. If the term of a bond fund is five years, if the expected annualized interest rate drops by 1 percentage point, the net asset value of the fund will increase by about 5 percentage points; or vice versa, Dallas to the auditorium

Investment secret 3: Before buying a bond fund, be sure to find out its credit rating.

You can know in advance through the fund prospectus or the fund portfolio report. Investors also need to know the proportion of convertible bonds and stocks they invest in. Funds holding more convertible bonds can increase the expected annualized expected returns, but also amplify the risks. Because the price of convertible bonds is influenced by the fluctuation of positive stocks, it is more passive than ordinary bonds, especially for funds holding a large number of convertible bonds, and their yields may be much more affected by the rubber market and convertible bond market than the bond market.

How to charge bond funds:

Class A charging structure is the most common charging mode. In addition to management fees and custody fees, fund companies also charge subscription fees and redemption fees. Category B or C no longer collects subscription fees and redemption fees separately, but deducts the corresponding sales service fees from the fund assets at a fixed annual rate, which is the same as money market funds.