Investment Strategy of Asset Allocation
Asset Allocation Defined: Achieving a desired risk and return configuration by investing funds across different types of asset categories.
Asset Allocation Defined: Achieving a desired risk and return configuration by investing funds across different types of asset categories.
How to choose funds that will make money is a primary goal for many investors, but how should one go about selecting funds? This article shares three steps for selecting fund investments, which I believe are fundamental principles when starting the fund selection process. These steps aim to provide some criteria for consideration, helping you make judgments that suit your needs when choosing funds.
"Before starting long-term investing, what should I buy?" This is a question I have often received from many students.
Money market funds, known for their low risk, low transaction costs, and returns that are typically better than regular savings accounts, along with the flexibility of buying and selling at any time without the long-term commitment required for fixed deposits, are a popular tool for parking idle funds.However, are money market funds guaranteed to preserve capital? Under what circumstances might they incur losses? In theory, money market funds are capital-preserving, but there are always exceptions in the financial market.