If you want to choose a suitable fund, you need to judge several aspects from the perspective of investors themselves. One is the investor's own risk tolerance.

The degree of risk tolerance determines what kind of fund you can choose to invest in and what kind of fund you choose for asset allocation. As long as the risk tolerance matches the fund, it can produce good investment results.

For example, if you are a steady investor, but you only hear that stock funds have high returns and ignore their high-risk characteristics. When buying stock funds, the floating losses of funds are large, while the tolerance of stable investors for losses is relatively low. The occurrence of loss will lead to the change of investment mentality and make wrong investment decisions easily.

The second thing to look at is the investment target. What is your income expectation? It is very important to establish a reasonable income expectation. If you want to get higher returns, you may have to bear higher fluctuation risks or have enough patience to make long-term investments.

The third depends on your assets, the time you can invest, and the funds you can invest.

Knowing your own financial situation, you can arrange fund investment more reasonably and choose fund products with appropriate cycle to invest.

Precautions:

Fund positions: Understanding fund positions is mainly about understanding the allocation of stocks. In the fund file, you can generally see which stocks the fund holds in heavy positions and the corresponding proportion. If investors have optimistic industries or stocks, they can focus on funds that invest in these industries or stocks.

Fund rates include front-end fees and back-end fees, and the rate of back-end fees will generally decrease with the growth of fund holding time, so if you plan to invest for a long time, then the fund with back-end fees is more cost-effective. In addition, the subscription fee for new funds is generally cheaper than the subscription fee.