Category: Money tips Release Date: 2006-04-20
There is huge potential in emerging markets, but the emerging markets, where the country's political and financial systems in general is not yet mature, so the economy and the stock market rising in the process of shocks may be constantly faced with the pressure of the callback investors to invest in emerging markets, or should "look Long did not look short. " Recommended investors interested in emerging markets, may wish to refer to 8 Dafa is, choose for their own investment properties in emerging markets equity funds as well as the appropriate investment strategy.
Selected emerging markets
Equity fund four reciprocity
â—?steady rise in short-and long-term performance: In addition to short-term performance we should pay attention over the past few years, the long-term performance, as well as the fund when the volatility risk or the performance of more callback reference value. A sound investment strategy and funds in order to enable investors to grasp the long-term performance of the largest value-added space, to avoid becoming a mad rush after the short-term prices have been skyrocketing, and then stuck a high point of the sacrifice.
â—?State and industry scattered layout: Emerging market countries covered a wide range addition to the "BRIC" (Brazil, Russia, India, China), the neighboring countries the integration of benefits and related subjects more worthy of looking forward to. In order to avoid fluctuations in a single country or industry risk, we recommend investors to choose the layout of the emerging-market stocks distributed funds. Particular configuration in the industry to grasp people's livelihood, consumption and raw materials, pairs of mainstream funds, performance materials sector is expected to pressure the proportion of the fund stable, investors can compare in depth, careful selection.
â—?fund a larger scale: a large-scale funds have economies of scale, lower administrative costs per unit, but also highlights the trust of investors in the fund, more advantages to avoid the risk of the fund liquidation. Because emerging markets more volatile and too small for single-country funds likely to encounter in the market when the callback redemption settlement risk, investors should pay attention to.
â—?team of experienced fund managers, reputable: emerging markets less transparent, must be through in-depth study of local value to be able to grasp the direction of investment and therefore recommends that you select with the operational experience and research team of a large number of stock funds.
Investment in emerging stock markets of the four major miscellaneous and â—?set the appropriate proportion of investment: Investment is most important is asset allocation, stocks, bonds balanced configuration, developed and developing countries, diversification of the portfolio in order to create a stable long-term performance and lower overall portfolio risk. The proposed robust investor to invest in emerging markets, the investment proportion in the stock market should not be over a third.
â—?set the stop-point profit points: Emerging market stock funds than the risk of fluctuations in Europe and the United States or global-stock funds must be high, and therefore proposes to set a profit points and stop points, effective control of risk in a portfolio.
â—?grasp this opportunity stepped in.: long-term investment opportunities in emerging markets are bullish, but this process may be subjected to shocks callback pressure drop in the market is irrational the best time to bargain-hunting.
â—?Regular fixed long-term investment: For the lack of money and time for investors who regularly invest in a fixed way so that you do not need to buy time to worry if we continue to invest in long-term charge, they can approach each smoothing the investment cost, control the growth of emerging markets, long-term upward trend, avoiding the high risk of stuck.