In the process of investment, market fluctuation and price fluctuation are inevitable. But it is the biggest challenge in the investment process for ordinary investors and investment experts. Bian Xiao sorted out how to deal with market fluctuations here for your reference. I hope everyone will gain something in the reading process!

Market fluctuation is a normal phenomenon.

Recently, the market fluctuates frequently, so the net value of funds held by guest officials must be hovering in the ups and downs. The performance of the fund depends not only on the fund manager's choice of excellent targets at the right time, but also on the market performance of these targets. Market fluctuation is a normal phenomenon that has always existed. There is no need to worry too much. Without equity funds, they only go up and not down.

"Should I get off in the face of market fluctuations?"

In the face of market fluctuations, there will inevitably be emotional ups and downs, but investment just needs less emotions and more rationality. Short-term fluctuations are only temporary "floating losses". If it is redeemed because of short-term market fluctuations, it will become a "real loss." In fact, as long as you insist on holding it for a period of time, you can often get a better return on investment; Some investment experts can take advantage of market fluctuations, turn challenges into opportunities, and make up positions on dips. When the market rebounds, there will be even greater surprises.

How to deal with market fluctuations?

1. Don't give up "long-term holding" because of "short-term fluctuation".

Looking back at the history of A shares, although there are numerous fluctuations during the period, the long-term trend is upward, and the long-term investment income is not low. As "buying stocks is better than buying funds" is recognized by more people, it shows that the long-term profitability of partial stock funds is more prominent. But there are still some guest officials who "clearly know that the fund is making money, how can I lose money?" Most of the reasons are because they bought at the high point of the stage and sold at the low point of the stage, and did not "hold for a long time" to the high point of the next stage.

2. Choose the methods of "fixed investment" and "covering positions on dips" to enhance the holding experience.

Whether it is a fixed investment or a bargain-hunting, it is an investment method of "defeating sensibility with reason". When the market is in a downturn, more shares will be laid out. Once the market rises, it will be easier to return to profit, which is better than a one-time holding experience. At the same time, fixed investment can also help you avoid the trouble of timing.

3. Invest with "idle money" and choose a fund with matching risk tolerance.

Before deciding to invest, please confirm whether this money is "idle money". If it is short-term money, short-term losses will be redeemed, and the holding experience is poor. At the same time, if you want to choose a fund that matches your risk tolerance, "risk is proportional to income", and you want to get higher income, you need to bear corresponding risks. If the risk tolerance is matched and you choose a partial stock fund, you must accept this fluctuation. Investors who redeem short-term because of the decline may also miss out on long-term high returns.

Precautions:

First, we should pay attention to arranging the proportion of fund varieties according to our own risk tolerance and investment purpose. Choose the fund that suits you best, and set an investment ceiling when buying partial stock funds.

Second, be careful not to buy the wrong "fund". The popularity of funds has led to some fake and shoddy products "fishing in troubled waters", so we should pay attention to identification.

Third, pay attention to the post-maintenance of your account. Although the fund is worry-free, it should not be left unattended. Always pay attention to the new announcements on the fund website, so as to have a more comprehensive and timely understanding of the funds you hold.

Fourth, pay attention to buying funds, and don't care too much about the net value of funds. In fact, the fund's income is only related to the net growth rate. As long as the fund's net growth rate stays ahead, the income will naturally be high.

Fifth, we should be careful not to "love the new and hate the old" or blindly pursue new funds. Although the new fund has inherent advantages such as preferential prices, the old fund has long-term operating experience and reasonable positions, which is more worthy of attention and investment.

Sixth, we should be careful not to buy dividend funds unilaterally. Fund dividend is the return of investors' previous income, so it is more reasonable to change the dividend method to "dividend reinvestment" as far as possible.

Seventh, we should pay attention not to talk about heroes in the short term. It is obviously unscientific to judge the pros and cons of the fund by short-term ups and downs, and it is necessary to make a comprehensive evaluation of the fund in many aspects and conduct a long-term investigation.

Eighth, we should pay attention to the flexible choice of investment strategies such as steady and worry-free fixed investment and affordable and simple dividend transfer.

In the past two years, the returns of funds purchased by many investors are generally unsatisfactory. What caused the large losses of most funds? Mars, an analyst at Shanghai Securities Fund Evaluation Center, pointed out that, first of all, the essence of fund products is the combination of securities, and the performance of fund income is closely related to the performance of the underlying market. In the continuous decline of the stock market, it is difficult for equity funds and hybrid funds, which mainly invest in stocks, to achieve positive returns. In the case of rising stock market, most partial stock funds can often achieve positive returns. Therefore, it is impossible for funds to create myths and create high positive returns in the continuous decline of the market in recent years.

From the long-term performance, in most cases, the overall performance of funds is better than that of individual investors, especially in bull markets and volatile markets. For example, in 2006 and 2007, more than 80% of equity funds achieved a return of more than 100%, while the proportion of individual investors was less than 20 12 years. Nearly 50% of equity funds have achieved a return of 5% to 30%. According to the survey, more than 50% of individual investors have lost between 5% and 50%. Therefore, the fund is still a good investment tool for individual investors to participate in the capital market.

All kinds of problems, whether China's stock market construction, economic development or asset management industry, can't be eliminated in a short time, and all need the rationality of the market as a whole to promote it. However, as investors themselves, we must measure our risk tolerance clearly and not blindly listen to the propaganda of sales staff. If your risk tolerance is weak, or the funds you want to use in the short term, you can't invest too much in a single stock fund to avoid being greatly affected by the risk of stock market fluctuations. Therefore, for individual investors, it is more meaningful to have a long-term investment mentality, choose appropriate fund products according to their own risk tolerance and renewal, avoid excessive pursuit of popular funds with outstanding short-term returns, pay more attention to funds with relatively stable long-term performance, and spread risks through fixed investment and portfolio allocation to obtain long-term stable returns.

How to deal with market fluctuations;

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