How do novice investors buy funds? Is it better to choose a new fund or an old fund?

How do novice investors buy funds? Is it better to choose a new fund or an old fund? The new fund, as its name implies, has no historical performance, and the total expense ratio of investors is very uncertain. The fund manager of the new fund may be inexperienced, and the information such as team running-in status is unclear. The old fund is a fund that has been issued in the market, and the past performance of fund managers can be seen. So, how to choose the old fund of the new fund?

There are three important points in buying new funds and old funds.

At first glance, the construction time

If you are inclined to invest in stocks, you can choose stock funds. However, most equity funds do not promise to guarantee. According to the regulations of the fund, at least 60% of the fund assets should also be invested in stocks, which is relatively risky.

Secondly, equity funds have a process of opening positions. Analysts said that the new fund will complete the opening of positions within three months after the capital verification of the raised funds, that is, 60% of the funds will be invested in stocks. In these three months, even if the market has been falling, the warehouse must be built according to the agreement. Of course, the fund you buy may take a chance.

The old fund warehouse is high, and there is no time requirement for opening positions, but the minimum requirement for opening positions is 60%.