Fixed fund investment is also called smiling investment, mainly because the expected return curve of fixed fund investment is similar to a smiling face. It refers to the long-term fixed investment method of purchasing a fund target. Which funds are suitable for fixed investment?
1, Monetary Fund
Money funds mainly invest in products with very low risks, such as central bank bills, acceptance bills of major commercial banks, national debt, short-term financial management, etc. It is characterized by low expected return and low risk. If it is the target of the fund's fixed investment, then the expected return curve is an almost parallel fixed expected return curve, which is not suitable for the fund's fixed investment.
2. Bond funds
The main targets of bond fund investment are government bonds, major corporate bonds and local government financing platform bonds. It is similar to the money fund, and has the basic characteristics of low risk, low expected return and relative security. If it is the target of the fund's fixed investment, then the expected return curve is also an almost parallel fixed expected return curve as a whole, with small fluctuation, which is not suitable for the fund's fixed investment.
3. Equity funds
Equity funds are mainly securities investment funds that invest in the secondary market, which are characterized by high risks, high expected returns and large fluctuations in expected returns. If it is the target of fixed investment, with the passage of time, regular fixed purchase of stock funds can stabilize the cost of holding positions and obtain higher expected return on investment.
Therefore, although the fund's fixed investment is good, in the choice of the target, the index fund in the stock fund is the most suitable, which can effectively give play to the advantages of the fund's long-term fixed investment, effectively reduce the fund's position cost and obtain the compound interest value of the investment. Tips: Financial management is risky, and investment needs to be cautious.