What is a daily limit fund? How to understand the mechanism of this so-called daily limit fund? The following is the significance of holding the daily limit fund compiled by Bian Xiao for everyone. I hope you like it.

The significance of holding a daily limit fund

Funds also have price limits. General funds are limited to 10%, and some GEM-related funds are limited to 20%. Then, after the daily limit of the fund, should investors choose to continue holding or take profits?

After the daily limit of the fund, if the performance of the fund is good enough to keep the fund rising, and the current premium rate is low, investors can consider continuing to hold it, and of course they can also choose to lighten their positions at a high level.

If the fund's performance is poor, the fund can't continue to rise, and the premium rate is high, investors can consider selling the fund in their hands to avoid the losses caused by the late decline of the fund.

In addition, investors can adjust their investment strategies according to the trend of fund constituent stocks. If its constituent stocks appear to peak, investors can choose to sell when the fund's daily limit is up. On the contrary, in the early stage of the rise, investors can consider continuing to hold the fund.

What do you mean by continuous daily limit?

Generally, stocks have price limits, that is, the highest position and the lowest position. The highest position is 10% of yesterday's highest closing price. For example, yesterday's 10 stock, today's10+0x10% =11is the highest position! Today, you can only sell 1 1 yuan, which is called the daily limit, because it stops here when it rises to 1 1, and1cannot be sold! Continuous daily limit is to rise to the highest level of the day for several days in a row!

Characteristics of Growth Enterprise Market Index

The characteristics of GEM index mainly include the following aspects:

1. High growth: Growth Enterprise Market is one of the strongest growth sectors in China stock market, including many high-tech and high-growth enterprises. Therefore, the growth rate of the GEM index is usually large.

2. High risk: Generally, the stocks in the GEM market are at high risk, including small market value, poor liquidity and unstable profitability. Therefore, investing in GEM stocks requires high risk tolerance.

3. Special industry structure: The industry structure of the Growth Enterprise Market is relatively concentrated, mainly covering high-tech, new energy, new materials and other fields. The development of these industries is greatly influenced by policy support and market demand.

What is the function of allocation fund?

The position of allocating funds is very free to change, and the investment ratio of stocks and bonds is not limited. Moreover, investors can make full use of the professional advantages of fund managers and allocate large-scale assets such as stocks and bonds. In addition, when there are investment opportunities in the stock or bond market, the proportion of stock investment will be expanded to obtain greater returns from the market.

Asset allocation can help us diversify risks and maximize benefits, thus achieving a balance between risks and benefits. The domestic thing is to obtain the investment income of the securities market through the choice of fund managers and control the risks to a great extent. In addition to A shares, you can also invest in QDII stocks or hybrid funds to indirectly invest in overseas stock markets.

According to the investment mode of the market, the fund, as an indirect investment tool, has rich investment contents, and investors can choose their favorite proportion to invest. Investors who want to invest in A shares can choose partial stock funds; If you want to invest in fixed industries, you can choose index funds or managed funds.

Reasons for the fund's sharp fall

1, affected by market conditions.

Most equity funds invest in stocks, so when the stock market plummets, the possibility of the fund plummeting is very high. Therefore, when buying a fund, you can look at which stocks the fund mainly holds heavily, and then see if the stocks you invest in have future prospects.

2. Overpricing

Generally, when the fund continues to rise for a period of time and the fund valuation is high, the possibility of decline is relatively large, because the fund valuation is to estimate the assets and liabilities of the fund according to a certain price. If the fund is overvalued, the risk is greater and the possibility of fund collapse is greater.

3. Encounter unexpected events with great impact.

The investment of the fund depends on entering the market. If the financial market has a relatively large impact of emergencies, it will also directly affect the fund. For example, the financial market will lead to a sharp drop in the stock market, which will affect the fund.

When the fund plummets, it is necessary to judge whether there is a possibility of rising behind the fund. If you are optimistic and feel that there is a possibility of rising, you can actually spread the risk through the fixed investment of the fund, then hold it for a long time, and then sell it to make money when the fund rises.