fund-smashing refers to a large number of stocks sold by the fund. There are several reasons for fund-smashing:

1. The fundamentals of the company have deteriorated, and the investment logic has changed. The fund inside sells stocks at no cost, which is a smashing behavior;

2. The institutional group shares have risen very much, and some funds will run away and the funds will smash the market;

3. When the stock suddenly thunders, institutions are also victims, and they will ship on the daily limit, which is also the performance of the fund's smashing.

As value investment is more and more deeply rooted in people's hearts, the fund's voice is getting heavier and heavier, and the influence of the fund is getting bigger and bigger. The fund has occupied the main force in the whole market, and sometimes some actions of the fund have a greater impact on the whole stock market, and fund smashing is the most direct embodiment. The fund will not smash for no reason, and the fund will definitely have its own logic. Under normal circumstances, the fundamentals will change, the institutional holding stocks will rise by a large margin, and the stocks will storm, and institutions will have the behavior of smashing.

First, the company's fundamentals have deteriorated. Fund-breaking

Funds are basically value investments. As long as the fundamentals have not changed, they will basically not break the market. When the fundamentals begin to deteriorate and the investment logic has changed, funds may sell a lot of stocks at this time, and stock prices will plummet. This is the performance of fund-breaking.

second, the institutional holding stocks are at a high level. The fund smashed

After the institutional holding stocks are hyped to a high level, it will be more difficult to rise, and some funds inside will rush ahead, and they will quickly sell their stocks in the form of smashing, locking in profits and avoiding risks.

Third, when the stock suddenly thunders, the institution will crash

Anything can happen in the stock market. If the fund's heavy stocks suddenly thunders, the institution will also become a victim. At this time, the foundation sells its stocks at no cost, and even ships on the daily limit. This fierce selling behavior of the institution has also been called fund crash.

fund smashing is a normal phenomenon in the stock market, and this practice is not illegal. Everyone's cognition is different, and the stock in hand has different views. The stock market is free to buy and sell, as long as it is not illegal, it can be traded.