Because of the low rate of return and slow growth
For example, if you have 1 yuan (this is only a hypothetical explanation, so we don't consider the question of how much to buy at least)
If you buy a fund with more than four dollars, suppose there are two kinds of funds to buy, one with five dollars and the other with one dollar, so it is easy to calculate
If you buy five dollars, it is 1/5. That is, 1/1=1
Suppose both of them have gone up by one yuan
Then:
If you buy five yuan, the return is: 2*1=2
If you buy one yuan, the return is: 1*1=1
It can be seen that it is very appropriate to buy one yuan
And generally speaking, the fund was originally.
Of course, the cheaper the better. Such a fund may not perform well, and the risk is relatively high. It is good to find a balance point.
Can I enjoy the dividends from a fund I just bought a few days ago?