Why does the fund fall as soon as it is bought? The reason for losing money has finally been found!

Many people will have this feeling, that is why they buy their own funds, as long as they buy the next day, they will definitely fall. So, why does the fund fall as soon as it is bought? In fact, there are not a few people who encounter this situation. Today, I will tell you why the fund falls as soon as it is bought.

An analysis of the reasons why funds fall as soon as they are bought.

1. Buy funds at a high point.

Many people will find that the fund rose very well before buying, and the money has been rising, so they take it for granted that it will continue to rise after buying. As a result, it began to fall the next day. Instead of making a profit, it lost a lot of money. This situation is because you buy funds at a high point.

2. Buy high-risk funds

Many people will find in various financial management apps that there are always several fund introductions on the homepage. What are the risks and types of these introduced funds? I don't even know when I bought it. This led to a decline in the fund, and I don't know whether to continue to add positions or redeem them immediately. Be sure to know the risk and investment scope of the fund before buying it. Like this, it is completely blind, and in most cases it will fall as soon as it is bought.

3. Follow the trend to buy funds

As we all know, hot spots have a great influence on the fund. For example, at present, the media and investors introduce a fund, which will soon become a hot spot for investment, attracting a large number of investors to invest for a period of time. Then, this popular fund will fall all the way after you buy it, and the media and investors will not help you pay for it.

How to avoid the fund falling as soon as it is bought?

1, understand the difference between investment and speculation. Before buying a fund, you must have a full understanding of the fund before investing. Don't rush into the market and come to a tragic end.

2. Choose a fund that suits you. Fund risks are high and low, and performance is good and bad. Everyone should choose the one that suits them according to their actual situation.

3. Learn to diversify your investments. Many people have a one-sided understanding of diversification, thinking that diversification means buying more than one fund. For example, someone bought six stock funds, thinking that they had diversified their investments, but this method was completely wrong in essence. In this decentralized way, the risk has not changed. The correct way is to invest in an equity fund first, and then invest in money funds, bond funds, hybrid funds and so on. And invest in different fund types to spread risks.

In any case, what we have to do is to keep learning and making progress. The concept of investment is always updated. If you don't study, you will stagnate and achieve nothing. I suggest you study more and watch more at ordinary times, and don't blindly follow the trend into the market.