At present, the fixed investment of the fund has become a common way of investment and financial management. Although the fixed investment of the fund is known as the lazy financial artifact, there are still many investors who suffer losses for various reasons, perhaps because you are not suitable for the fixed investment of the fund. So which investors are suitable for the fixed investment of the fund?
Young moonlight clan:
Because the fixed investment of the fund has two functions of investment and saving, you can leave your daily living expenses after paying your salary, and make a fixed investment with some remaining funds, so as to "force" yourself to save and cultivate good financial habits!
People with moderate or low risk attitude:
These people are unwilling to take big risks, so the investment allocated by stages is the most suitable for them. The fixed investment of the fund can not only realize long-term investment, but also realize the average investment cost to the greatest extent by means of phased investment.
money:
but no time to take care of it. For example, there are some self-employed people or people with a very fast pace of life. They don't have too much time to pay attention to market changes and industry news in the stock market or other investment markets. They need more energy to pay attention to their careers or study. These people are also suitable for the investment method of fixed investment by the fund.
those who have special (or large) capital needs at some point in the future:
For example, they have to pay the down payment for buying a house after three years, the fund for studying abroad for their children after 2 years, or even their own retirement pension fund after 3 years, and so on. When it is known that there will be a large demand for funds in the future, it will not only cause your daily economic burden, but also make the monthly small money easily turn into big money in the future.
Office workers with fixed salary:
Most office workers often have a small balance after meeting their daily living expenses, and a small amount of regular fixed investment is the most suitable. Moreover, because most office workers don't have a high investment level, they can't accurately judge the timing of entering and leaving the market. Therefore, through this tool, the asset appreciation can be realized steadily!
no matter what kind of people you are, the most important thing is that once you choose to make a fixed investment, you should stick to it. As an investor, if you don't have the ability to grasp the ever-changing financial market, it will be difficult to make truly correct investment decisions. As an investor, it is more meaningful to carefully select stable and high-quality funds for long-term investment than to speculate on the index level. Still don't know how to manage money?
Compound interest effect of fixed investment
Long-term fixed investment by the fund can increase wealth with compound interest, and every little makes a mickle. As a working class, we will have some idle funds every once in a while, and use some of them to invest in the fund, which can "accumulate sand into a tower" and accumulate a lot of wealth unconsciously.
Take the Shanghai Composite Index as an example, and deduct 1 yuan every month. From the establishment of the Shanghai Composite Index in 199 to the end of 214, the compound annual yield of fixed investment is 8.85%.
Note: This calculation is not used as any income guarantee or investment advice. The income of the selected index in a specific period does not represent the performance of funds under Jing Shun Great Wall, and the relevant data are for reference only.
how to dilute the cost of fixed investment?
Fixed investment focuses on investment in batches, which can balance costs and reduce risks.
1. Psychologically speaking, fixed investment conforms to the investment inertia of ordinary investors. It is estimated that few investors will do it if they want most investors to chase up and down like trend investors. Most people are used to buying more positions after falling-although falling positions are a deadly habit in the eyes of trend investors, if you turn this behavior into discipline for a long time, it will become a reliable strategy, that is, fixed investment.
2. From a practical point of view, fixed investment can really play a role in reducing the cost of holding positions. Because of the same amount, the more you fall, the more fund shares you can buy, and the average cost will drop faster. For example, in the same 1 yuan, you can only buy 1, shares for a fund with 1 yuan net worth, but when it falls to .5 yuan, you can buy 2, shares. More importantly, when the shares of 1 yuan and .5 yuan are combined, your fixed investment cost is .667 yuan instead of the simple arithmetic average of .75 yuan for 1 yuan and .5 yuan.
therefore, in the downward trend of the market, constant fixed investment can quickly reduce costs. The chart below shows the trend chart of Shanghai Composite Index from 28 to now, and the curve below is the cost line after insisting on equal fixed investment at the end of each month. It can be clearly seen that in the wave of plunge in 28, the cost price of fixed investment also fell rapidly, once approaching 25 points; In the volatile market in the following years, although the cost of fixed investment did not fluctuate greatly, it further dropped from 2,7 points to the lowest around 2,44 points. Therefore, it is not too difficult to double the income in case of a big market above 4,5 points in the first half of this year.
how to choose the bid?
under normal circumstances, the bigger the net value fluctuation, the more suitable it is for fixed investment. Because the greater the fluctuation, the more you can give play to the advantages of fixed investment to spread the cost. In this way, when the market goes up, we can get better returns. Historical data show that stock-based and hybrid funds fluctuate greatly, and are more suitable for fixed investment than relatively stable varieties such as bond-based and currency-based.
no matter how much theory is said, it is better to give a chestnut! No matter how good the logic is, it is better to speak with data. Xiaojing knows you! Due to compliance requirements, we can't simulate the fixed investment income of a single fund for our friends. Next, we will take the fixed investment results of several different stages since 6124 points in the CSI 5 and CSI 3 indices as examples to show you three possible results of fixed investment for products with large fluctuations:
Have friends found that the fixed investment results are good for both the most miserable and the most ordinary people? And the deadline for data is July this year, which is after the plunge. Then we can also imagine that if we can leave before the plunge, the picture is so beautiful that we can't imagine it ...
Do we need to quit the fixed investment?
I believe that friends have learned from the above picture: treating fixed investment as a accustomed way of financial management does not mean that fixed investment only means investment, not withdrawal. Even if it is a fixed investment, it should gradually withdraw from the lock-in profit and reduce the fixed investment chips when there is a significant premium in the market; At the same time, when the market enters the downward channel again, it will continue to vote without hesitation. The reasons are as follows:
1. Although fixed investment is a market entry strategy suitable for ordinary people, it is not a perfect trading system because it is not matched with exit strategy. After a long time of fixed investment, you will find that its effect on lowering the cost of holding positions is getting worse and worse-the reason is simple, because the amount of fixed investment each time is smaller and smaller than the accumulated investment. (In fact, at this time, your fixed investment cost has been gradually fixed. If the market continues to rise, it is time to reduce the fixed investment share and hold on to the foundation. )
2. The market has its own operating rules. There is no endless rise or endless decline. No matter whether it is a fixed investment or a general value investor, as long as they wait for the right time, they can wait for the right time to "harvest".
The law revealed in this "historical average P/E ratio chart of A shares" has been tried and tested time and again-when the market is below 2 times P/E ratio, buy. 35-45 times the price-earnings ratio, sell. This simple chart really tells investors how to simply and truly realize "buy low and sell high": wait patiently for the time when the value is undervalued (generally corresponding to the low-end area of the market), and wait patiently for the valuation bubble (corresponding to the high market) after buying, and end it in madness. The so-called "buy assets in a bear market and cash out in a bull market".