First of all, we must understand the various types and risks of funds. Any investment is risky, so it is important to know how risky the investment varieties are. Only by knowing the risks can we effectively avoid them.

Second, choose the right fund type.

Generally speaking, according to investors' family financial situation and risk tolerance, funds are divided into conservative, steady, balanced, confident and enterprising. Investment experts suggest that conservative types can buy capital preservation funds; Moderate type can buy money market funds or bond funds; Balanced type can buy allocation funds, which is more flexible. When the market is bad, they can reduce their stock positions, invest in bonds and other varieties to avoid risks, and increase their stock positions when the market is good; Self-confidence can buy some allocation or equity funds; Aggressive type can invest most of its assets in stock funds and allocate money market funds with good liquidity appropriately, but it must have certain risk tolerance.

Third, choose a good fund company. Fund management companies are investment management institutions, and the ability to invest and support customers is the most important. A good company should have good management and good service.

Fourth, we should know how to buy a fund and the cost of buying a fund. At present, the main channels for purchasing funds are banks, brokers and other consignment outlets, as well as direct sales counters and online purchase platforms of fund companies. The expenses incurred by purchasing funds generally include subscription fees, subscription fees, management fees and redemption fees.

Fifth, we should pay attention to the disclosure of various fund information after buying a fund. First of all, we should pay attention to the performance of investment funds and the information disclosure of the funds we hold. Secondly, we should analyze all kinds of evaluation data of funds and pay attention to the research data published by some authoritative research institutions, such as open-end fund evaluation table, open-end fund performance ranking table and open-end fund position calculation table.

Sixth, we must understand the precautions for fund dividends. There are three conditions for fund dividends: first, it should be profitable in the current period; Second, the current profit should make up for the loss; Third, the net value after dividends is still above 1 yuan. There are two ways of fund dividend, one is cash dividend, and the other is dividend reinvestment. The advantage of dividend reinvestment is that it simplifies the reinvestment procedure and can reduce the subscription fee.

Seventh, pay attention to two key businesses.

The first is the fund conversion business. The fund conversion business is suitable for the products of the same fund, that is, when there is risk, investors will convert the fund with higher risk to other products with lower risk of the same company. The handling fee for fund conversion is often more favorable, and investors can effectively maintain and increase the value of assets according to specific market conditions.

Eighth, pay attention to safe operation, change passwords regularly, and install and update antivirus software.