First of all, if the fund operates for a short time, it needs to charge a huge fee. Usually, the fund stipulates that if you hold the fund for less than 7 days, you will be charged a redemption fee of 1.5%. This redemption fee is very high. Under normal circumstances, the income that the fund can create for us in 7 days is very limited. There are at most five trading days in seven days. Even in the big bull market, we will not get high returns from the fund. If the redemption fee of 1.5% is deducted, it will be a great blow to our investment. In addition to the impact of 7 days on the fund redemption fee, the longer the fund is held, the lower the redemption rate, so holding the fund for a long time has a better impact on our income.
In addition, especially for stock funds, we just give our money to the fund manager and let him help us in stock trading. Usually, in his portfolio, the stock will not go up or down much on the same day (except for theme funds). Then it must be operated for a long time before he can help us earn more income, so it is most appropriate to hold the fund for a long time for our income.
It is also very important that the fund manager of each fund will have a very reasonable position, so if the stock rises sharply. If we sell the fund, where will we invest the money next? If we buy funds again, we actually seem to lock in the income, but in fact we may buy less money than the original, because we need to deduct the buying rate and deduct the buying rate in the middle.
However, this sentence is not absolutely correct. It is very important when the fund is bought, and it is more important when it is sold. In the end, the fund must be sold to get a profit. It is useless to show the percentage of our income on the books before the sale. Therefore, when we earn the target rate of return from the purchased fund, we should consider finding a good time to sell it to lock in the income. So how to start a new round of investment, it is best to invest in funds with heavy positions and low valuation stocks by means of fixed investment.
Therefore, the fund should be held for a long time, mainly in the short term, so the handling fee rate is very high, and the short-term holding can not earn higher income, but the long-term holding does not mean that it is not sold at all. When you earn your favorite rate of return, you should sell the fund in time and lock in the income well.