When buying a fund, some novices don't know how to choose a good fund and will be confused. Which fund is generally cost-effective? How do novices choose funds better? The following small series gives you a general choice of which fund to buy. Let's take a look at it together, hoping to bring some reference.
Which fund do you usually choose to buy?
There are many different types of funds, and the benefits and risks represented by different types are relatively small, so which one is more cost-effective, we should analyze it from our own needs. For example, if you don't want to take great risks, consider money funds or pure debt funds, and if you want to pursue high returns, consider high-risk fund types.
However, it should be noted that both high-risk and low-risk funds are risky, that is to say, financial management is not equal to time deposits, and it is impossible to protect the principal and interest, so you should choose carefully when buying.
How do novices choose funds better?
Because novices generally don't know much about funds, it is not recommended to choose high-risk funds at the initial stage. You can consider more low-risk money funds or pure debt funds. You can accumulate experience and learn more about the fund first, and then consider high-risk fund types after fully understanding the fund.
When choosing a fund, you can give priority to larger funds, but not too big. It is better to choose a good fund manager. Because funds are managed by fund managers, it is very important to choose a good fund manager.
How to make rational use of retail investors?
The 5-day moving average refers to the average transaction price or index of a stock for 5 days, which corresponds to the 5-day moving average of the stock price and the 5-day moving average of the index (5MA). The moving average is actually the abbreviation of the moving average index, which is an important indicator to reflect the price trend. The high point and low point formed by trend operation are pressure point and support point respectively, which has important reference significance for investors' trading points.
The 5-day moving average is an important trend line of the short-term trend of the stock market. The stock price above the 5-day moving average is bullish in the short term, so you can buy it (don't chase after it). The short-term bearish stock price below the 5-day moving average can be tracked and observed. When the 5-day moving average of a stock crosses the golden fork formed by the long-term moving average, it is a buying signal, and when the long-term moving average of a stock crosses the dead fork formed by the 5-day moving average, it is a selling signal.