Money funds have always been a hot spot for investment, but how to invest in money funds, the following small series tells you.

Monetary fund is an open-end fund that collects idle social funds, is operated by fund managers and kept by fund custodians. It specializes in investing in low-risk money market instruments, which is different from other types of open-end funds. It has the characteristics of high security, high liquidity, stable income and "quasi-savings".

Due to the emergence of digital currency, a new type of money fund-virtual money fund has appeared in the field of money fund. Also known as the digital currency Fund. For example: BlackRock digital currency Fund.

Money fund is a financial management method that investors pay close attention to recently. At the beginning of the year, money market funds continued the high-yield market since June last year 165438+ 10. Take "E Fund" as an example, its annualized rate of return has been maintained at around 5% since the beginning of the year, which continues to attract a steady stream of continuous subscriptions. How to invest in money funds? Recently, Ma Jun, chief investment officer of E Fund's fixed income, gave a detailed explanation.

Ma Jun pointed out that the money fund, as a liquidity management tool, has low risk, can be realized at T+ 1, has no transaction cost, and can improve the use efficiency of idle funds. Moreover, the current rate of return of money funds is equivalent to that of bank wealth management products, and its liquidity is far better than that of bank wealth management products, which meets the risk preference and income demand of ordinary investors. Now, when the internal and external economic environment is facing a high degree of uncertainty, investors can "lurk" in the money fund if they are "indecisive" about the market outlook. When there are better investment opportunities in other markets, investors can quickly switch to other types of funds.

Of course, Ma Jun also reminded that in the process of investing in the money fund, we should not expect the money fund to be stable at the income level of around 5% for a long time, and investors should maintain reasonable risk-return expectations. If the market structure changes and the yield of the money fund declines, investors can also convert the money fund into other funds. In addition, although the current rate of return of money funds is attractive, the main purpose of allocating money funds should not be to obtain high returns, but mainly to be a liquidity management tool. In essence, the money fund is a cash management tool.

In recent years, money market funds have developed rapidly in China. At present, the size of money market funds is close to 400 billion yuan. Ma Jun is optimistic about the future development prospects of money market funds. He pointed out that in recent years, investors have a growing demand for wealth management products with stable income; In the past four months, the market has increasingly realized that money market funds are a sound financial product. At the same time, with the market becoming more and more mature and rational, institutional investors and individual investors have begun to learn to distinguish what kind of money market funds are good and what is not. Careful investors can find that although the current research institutions and consignment agencies introduce money funds to investors on the basis of "seven-day annualized rate of return", in fact, the annualized rate of return of money funds often fluctuates greatly, and some funds cannot always maintain the rate of return at the time of subscription, so professional investors pay more attention to the stability of fund returns. Judging from the current investment strategy of money market funds, it is difficult for some funds that rely on bond cashing to maintain a high rate of return for a long time, while the income level of money funds that rely on asset allocation ability is relatively stable.