Can the fund quit if it earns 5% from fixed investment? How does the fund decide to take profit? In investment, we often say that we will buy the apprentice and sell the master. When and at what price
Can the fund quit if it earns 5% from fixed investment? How does the fund decide to take profit? In investment, we often say that we will buy the apprentice and sell the master. When and at what price you sell it determines whether you will make money or lose money, and how much money you can earn. We all know that the most important thing in making a fixed fund investment is persistence, but few people know when it will be a successful investment. For example, my fixed fund investment has turned 5%. Do you want to stop making profits? Persistence is very important, and reasonable profit-taking is more important. We can judge the position of take profit in several ways. the first method is to judge according to market sentiment < /p > Buffett has a classic saying: fear when others are greedy, and be greedy when others are afraid. With regard to the stop profit of fixed investment, we can also consider from these two sentences < /p > Fear when others are greedy, and market sentiment is high when investors scramble to enter the market and buy crazily. At this time, the market may have reached a high level, which is when you need to think carefully. If your account has reached a certain income at this time, you can consider stopping profit in time. If you choose to continue to be greedy like the market at this time, you may even lose your previous profits. It is subjective to judge the position of take profit by the method of market sentiment, but it doesn't need much professional knowledge, so it is relatively suitable for beginners. < /p > The second method is to decide to stop profit according to the target < /p > When starting to make a fixed investment, set yourself a profit target, and stop profit in time once the profit target is reached. This is a very simple method to determine the stop profit point. The problem lies in how to determine the standard of the target. Setting the target too high will kill the patience of investment and set the target too low. If the subsequent market continues to rise, there will be some problems. Here is a simple method for your reference. You can check how much the index corresponding to the fund you invested has increased in recent rounds of bull market and bear market conversion, and choose the lowest increase from it. If the fund you invested in reaches this increase, it means that a bull market may be coming. At this time, you can consider taking profits in batches and gradually lightening your positions. < /p > The third method is to determine according to the valuation < /p > In several bull markets in recent years, the P/E ratio of the CSI 5 index has reached 8. After that, the market quickly entered the bear market stage, and we can take the P/E ratio of 8 as a reference standard for bull markets. When the price-earnings ratio reaches 6, you can consider redeeming 5% of the fund shares, when the price-earnings ratio rises to 7, redeeming 3% of the fund shares, and when the price-earnings ratio reaches 8, redeeming the remaining fund shares. This data is not certain. It doesn't mean that the P/E ratio reaches 8, and there is no absolute regularity in the market. It is only through this method that you can win with high probability. < /p > The above is the method for determining the fixed investment and profit-taking of the fund. I hope it will help you.