All investment professionals will basically tell you that when you buy a fund, you have to hold it for a long time, so that you have the opportunity to earn high returns. This sentence is actually only half correct. If you buy a fund and hold it for a long time, you have the opportunity to earn high returns.

Income, this is true, but the premise is that you must choose the right fund. There are several funds that the more you hold them, the worse the effect will be.

The first type is cyclical funds. Cyclical funds refer to industries that will rise and fall together according to the national economy. If the economy is good, they will be better. If the economy is bad, they will be worse. There is great uncertainty because the market is unpredictable and no one knows.

What will happen tomorrow?

This type of fund is not suitable for us ordinary people to hold it for a long time.

Industries such as steel, non-ferrous metals, coal, etc. are all highly cyclical.

There are also transportation, chemicals, textiles, etc., which are known as the foundation of the industry.

When these funds are good, they can rise from 1 to 10, but if they go bad, they will fall directly from 10 to 1. If you are unlucky and buy it at a high point, the fund may switch from a high point to a low point.

The sex will be greater.

The second type is C-type funds, which are funds with "C" at the end of the fund name. There is no subscription fee or subscription fee when buying this type of fund, but sales and service fees will be accrued on a daily basis. Compared with other funds,

For Class A funds, the longer you hold them, the higher the transaction costs you need to pay.

If the holding time is 6 months or more than 1 year, buying Class C funds will be more expensive than ordinary funds.

The third type is small-scale funds. Since the current market has been fluctuating, people are not enthusiastic about investing. Many new funds have not raised enough funds and face the risk of ending their operations at any time. Some funds are only a few hundred million in size.

That is very dangerous. If you are not careful, you will be liquidated, and the lost funds will not have a chance to come back.