The advantage of the moving average fixed investment method is to buy more at a low position and buy less at a high position, which can better share the cost according to the market.

However, the fixed investment also has some shortcomings, such as: 1, which is only suitable for some funds, and it is useful to find the corresponding moving average;

If you buy GEM index funds, but if the data changes are based on the Shanghai and Shenzhen 300 moving averages, it will lead to data errors, and even the situation of buying more at high positions and buying less at low positions will occur, and the final income will be lower than the traditional fixed investment.

2. There is no exit mechanism; Before the sale, all the figures are just paper wealth.

So how do you choose a fund that suits you?

1 First, select the appropriate type by category: if it is a fixed investment, it will be better to choose index funds and mixed funds with relatively large fluctuations than one-time investment. After all, it is difficult for us to predict whether it is the lowest now ~!

If you choose the moving average fixed investment method (smart fixed investment), then you have to choose the index fund ~

2. It is best to operate for more than 3 years, open for business irregularly, and can be redeemed at any time.

3. Look at the performance of the fund: if you choose to grow steadily in the past year, the income will be better.

4. Look at the fund manager: the maximum withdrawal rate (used to describe the biggest loss that investors may face, the debt base is within 10%, and the stock base is within 45%. Index funds follow the index regardless of the maximum withdrawal rate) and replacement frequency (do not change frequently).

Buffett has repeatedly advised investors: "Be sure to invest within your own understanding."

Sharpening a knife is not a mistake for a woodcutter. It's best to learn financial management knowledge before investing, and then invest clearly.