There are many index funds based on the Shanghai Stock Exchange 50 in the market, and each one wants to call itself the "Nifty 50" and compete with others.

Mr. Lemon is not a superficial person and will not be deceived by your sweet words.

Mr. Lemon believes that whether you are beautiful or not depends not only on the inside, but also on the outside.

The so-called inner nature refers to the compilation logic of the index. Whether an index is scientifically compiled can definitely determine the long-term returns of the index. The so-called appearance refers to the superficial characteristics presented under the compilation logic, and it is by no means performance.

Lemon Jun will talk about the internal and external appearance of the 50 series index funds: CSI Ruilian Fundamental 50 Index selects the 50 largest economic companies measured by 4 fundamental indicators (operating income, cash flow, net assets, dividends)

A-share listed companies are used as samples, and the weight allocation of sample stocks is consistent with their economic scale.

From a simple perspective, it can be understood that the SSE 50 has optimized the weight allocation and added a small number of leading stocks in the Shenzhen Stock Exchange. The preparation plan is much more scientific than the SSE 50.

The appearance presented is still dominated by financial stocks: to a certain extent, it can be regarded as a financial index enhancement fund.

The principle of using the AH spread investment strategy to enhance the returns of the Shanghai Composite 50 is that if the same stock is listed on different markets, if you buy it in the market where the price is cheaper, the long-term returns will be higher.

There is nothing wrong with this theory, but everyone must pay attention to the fact that the short-term market is most likely not rational. Only after a long time can the effectiveness of this strategy be seen.

A-shares are particularly irrational than H-shares. Sometimes when the market gets high, this fund will suffer more.

On the surface, the industry distribution is very similar to the fundamental 50, but due to the large investment in H shares, it will be related to the market conditions of the H shares. This must be paid attention to. Many people ignore this point when comparing performance.

An unconventional SSE 50 index fund has allocated many leading stocks in the Shenzhen stock market, such as Gree Beauty's Ping An Bank Wuliangye. The industry allocation also tends to focus on consumption and light on finance. Tracking the SSE 50 is not accurate on a daily basis, but in the long run

The income is considerable, because the idea of ????enhancing the index is still very right, and the growth of consumption is better than that of finance.

To some extent, it can be positioned as a 50 enhancement focusing on the consumer industry.

This is an index whose constituent stocks are selected by experts, but it looks very similar to the E Fund Shanghai Stock Exchange 50: It is even better than the E Fund Shanghai Stock Exchange 50. For the time being, the positioning of the two is the same.

The CSI 300 Value Index takes the 100 stocks with the highest value factor scores among the CSI 300 Index sample stocks as constituent stocks, and uses the value factor value as the basis for weight allocation.

Value is relatively close to fundamentals, so they are very similar in appearance: It can also be positioned as a financial index enhancement fund, but compared to fundamentals 50, this index has more constituent stocks (100), which will be more powerful than fundamentals 50.

It's lighter and not so focused on big banks.

Since each of the five 50 stocks has its own focus, we can rotate based on the characteristics to enhance returns, because consumption and finance have quite different trends. If consumption rises a lot, we can switch from E Fund 50 or CCTV 50 to fundamentals.

If the value of 50 or 300 rises too much, it can be reversed, which is euphemistically called "double enhancement."

Of course, some people may think that this can be done with consumer index and financial index funds. Many of these enhanced funds have quite high operating fees, but the volatility of this strategy will be reduced a lot, and they are all high-quality stocks, so you will feel more at ease holding them.