Category: Money Tips Date: 2006-03-06
Investors should be adjusted to the first half of the active investment funds, while the funds are divided into two parts: most of those funds to invest in income funds, making active defense configuration, both the long-term shocks can be reduced due to market losses, but also for rise next year to get a better return preparation; another part of the funds could be some short-term investments growing faster than the net, and can quickly access the funds, such as the recent good performance of index funds, making offensive configuration, not only with income-based complementary to the fund, but also can increase the excess income to reduce the risk of the fund portfolio.
The recent stock market trends so that a lot of fund holders, bug-eyed, blue chip companies have been snapped up, while other funds are unable to display its power Awkwardness, or even fell, leading to a lot of the Fund's net income is less than stock. In fact, the first half of the phenomenon of the kind of broad based, more like a variety of fund is the market fell sharply in the past few years to compensate for this phenomenon is difficult to copy in the future, and it had soared more than six months, there is still much room to rise investment in species and individual stocks have been less. While the index of large-cap stocks has played a leading role, but obviously not popular in the first half as hot. Since the tape years ago, the possibility of there quick sharp rise has been little sustained time not too long, then in the next few months, investors may wish to adopt "active defense, attack short" investment strategy, in ensuring the victory of the year the results, while positive for next year's sowing "winter wheat."
Effective combination of a long cast Duanchao
Specifically, investors should be adjusted to the first half of the active investment funds, while the funds are divided into two parts: most of those funds to invest in income funds, making active defense configuration, both can be reduced due to market turmoil caused by the long-term losses, but also for the rise in the next year to get a better return preparation; another part of the net assets can be short-term investments in fast-growing and can quickly access the funds, such as the recent good performance of index funds, making offensive configuration, both complement and revenue funds, but also can increase the excess income to reduce the risk of the fund portfolio. In general, this reliance "base + Guerilla Fighter" mode of investment gains in choppy conditions, the overall situation will be the best, but the long-term investment results are better.
The reason to choose a more stable earnings performance of value funds as an active defense configuration varieties, because fluctuations in the net value of these funds, under normal circumstances is relatively small, and its investment in a better profit performance of value stocks do not abandoned by the market at the end of the year, rising Quotes will be some funds in pursuit of hot spots, so the fund can be in the future market environment remained relatively stable earnings. Not only guarantee existing benefits, but also for next year's "harvest" Seedlings were planted in time. Of course, risk-averse investors can also choose a number of short-term debt funds do defensive configuration, but future earnings are relatively unlikely to be significant.
While the index funds generally heavier because of positions, so the net increase in growth rate during the other types of funds are often difficult to match. Especially since the recent market domestic stock index futures rising expectations of the upcoming, as well as margin trading business, incentives, and the end of the investment demand for increased mobility, allowing broader market by some heavyweight investors snapped up, fund investors also naturally derive benefits. However, as market sentiment is not strong, so such increases will not take too long to get to choose some net proceeds to be growing faster, and ease of transactions carried out a short strike fund products for profit or out. While the index funds, in particular, the transaction is more convenient ETF fund is the best attack for such a short varieties.
Portfolio a higher long-term gains
From experience, the fund alone is difficult to maintain long-term performance of the leading industry average, many of the short-term star fund long-term gains are ultimately "return" to the average level of similar funds, such phenomena by some analysts called the "gravity "phenomenon or" Newton's curse. " Therefore, if a passive investor holding the fund alone, then, in the long run, their returns are generally not higher than the market as a whole.
For operation ability and energy investors, can be considered in designing a Fund's investment portfolio, the use of active defense, attack short strategy, most of the assets invested in stable long-term performance of income funds, you can ensure long-term average level of total earnings , while other funds may choose to invest in the rapid growth in a timely growth fund or index fund in order to achieve higher returns. Such long-term investment portfolio overall revenue effect will be far stronger than the lone defensive single fund. However, it needs to investors familiar with the characteristics of different types of funds to facilitate the choice of investments.
