What is a partial stock fund?
Partial stock fund refers to a fund with a large proportion of investment stocks raised by the fund, generally between 60% and 80%. The trend of such funds is largely influenced by the stocks they invest in, that is, when the stocks of their investors rise, their trend will also rise. When constituent stocks fall, their trend will also fall.
Therefore, investors can consider buying funds when their constituent stocks rise and selling funds when their constituent stocks fall. However, when investors analyze the fund according to its constituent stocks, it should be noted that the constituent stocks of the fund are generally published once every quarter, which has a certain lag. That is, the fund manager has switched positions and exchanged shares, but the information of its constituent stocks has not been updated. This may cause the fund to deviate from the constituent stocks and mislead investors to buy and sell.
So how should we choose partial stock funds?
First, the primary election: look at the past performance of the fund and establish your own fund pool.
If you pull the ranking list according to the fund category, you must follow the fund category, don't be confused, and look for partial stock funds. Although the performance has passed, it reflects the past situation of a fund. If a fund performs well in the short term, it will have a more obvious pulling effect on the medium and long-term performance. However, the short-term performance of a fund is actually unreliable, so after the ranking is completed, we need to look at its trend in 2 years, 3 years and 5 years one by one. Of course, short-term performance should also be considered.
Second, screening: look at the stability and scale of performance, leaving funds that meet the requirements.
Performance is very important, but stable funds are one of the varieties of long-term investment. If a fund fluctuates, it is difficult to bring returns. How to do it specifically? The important step is to look at it by year. For example, if a fund was established at the end of 20 10, we can look at the performance ranking of similar funds from 20 1 1 to 2020, that is, to see whether it can rank in the forefront of similar funds in bull market and bear market. If a fund can rank in the top third of similar funds in bull market and bear market for several years in a row, then its long-term performance is definitely excellent.
Third, the investment ability of the current manager.
Fund manager is the soul of the fund, and its performance is closely related to the fund manager. After some funds are changed to fund managers, it can be clearly seen that there will be a big difference before and after the fund net performance, which is mainly due to the big difference in the investment ability of fund managers. Therefore, we will see that although some funds have good performance, this fund has recently changed managers, and most of the performance is done by former fund managers. In fact, the performance of the new fund manager will really make people confused. Therefore, when looking at the performance of a fund, we need to see whether the performance contribution of this fund is made by the current manager or the former manager. In addition, it depends on whether the fund manager has experienced a complete economic cycle and stock market cycle. If not, the uncertainty in the future will become even greater.
Fourth, the investment style of fund managers.
The choice of funds is dynamic, which does not mean that the funds we choose at a certain point in time can be used continuously. Therefore, in order to make the fund we choose become our medium-and long-term choice, besides looking at the performance, we need to pay more attention to whether the operating style of the fund manager meets our own expectations.
After these steps, you can basically choose a good fund directly.