What fund is suitable for long-term investment?
1, partial stock hybrid fund, refers to a fund that mainly invests in stocks, but also invests in bonds, money market instruments and other varieties. Partial stock hybrid fund has the characteristics of flexible, balanced and decentralized investment. Fund managers will adjust the allocation ratio according to market changes to avoid risks and improve returns.
2. Index fund refers to a fund that takes a specific stock index or bond index as the tracking target and copies the index performance as much as possible by selling constituent stocks or bonds. Index funds have the characteristics of low rate, high transparency and high dispersion, and investors can invest in index funds through long-term fixed investment.
What is the impact on the net value of the fund?
The net value of the fund is mainly affected by the asset value of the fund and the total number of fund shares. Refers to the net asset value corresponding to each fund share, which reflects the performance and value of the fund. Its calculation formula is fund net value = fund net asset value ÷ total fund share. The net asset value of a fund refers to the balance of all assets such as stocks, bonds and cash held by the fund after deducting all liabilities such as management fees and custody fees. If the market is good and the price of assets held by the fund rises, the net asset value of the fund will increase. There are many factors that affect the change of asset price, such as market supply and demand, interest rate level and policy changes. In addition, if new investors purchase or original investors redeem fund shares, the total number of fund shares will increase or decrease accordingly, which will also affect the net value of the fund.