Mutual Fund (mutual fund) is one of the most recommended investment tools for novice investors. Because the way this tool works is simple. Investors are required to purchase one or more investment units. And the investment from these unit purchases will be managed by the investment manager so that no new investor has to worry.
This investment product can be divided into several categories based on investment allocation. There are money market funds (RDPU), equity mutual funds (RDS), index mutual funds (RD Index), and fixed income mutual funds (RDPT). There are even Islamic mutual funds managed according to Sharia principles.
Each of the above types has different patterns and levels of risk. If in a single investment objective You have one or more types The collection of several types of products is known as a portfolio.
Understanding Mutual Fund Portfolios
A mutual fund portfolio is a group of products for one or more investment purposes. For example, to prepare your retirement fund, you have RDS and RDPU at the same time, then a combination of both instruments is called a portfolio.
The purpose of creating this portfolio is to mitigate market risks. Due to having two different mutual fund products You still have the opportunity to make a profit even if one of the two products suffers a loss.
How to build a mutual fund portfolio
Today, many applications for buying and selling of these tools are equipped with expert advisors or specialized robots that help investors determine the chosen tool that is tailored to their profile. Investors’ risk and investment objectives. However, if you want to build your own portfolio Here’s how to build a good portfolio of these tools.
1. Adapted to investment objectives and risk profiles
when creating a portfolio of securities The first thing you should keep in mind is your investment objectives and risk profile. If you are a conservative investor and want to invest in emergency funds, RDS is definitely not the right tool for you.
This is because equity funds have higher risk than other products. mutual fund Other. Additionally, the process of disbursing this tool takes 2 to 7 business days, so it’s not suitable for urgent needs.
2. Make sure the products are different.
When you create this product group Make sure you choose a different product. whether other types (a combination of RDS and RDPU or RDPT) or from another investment manager This difference exists so that if a product suffers a price drop or the investment manager has a problem. Do you have other products?
But before choosing another investment product Make sure that you have done enough product analysis and that the investment managers who manage the product are there. Choose the right investment manager.
Equity, index and bond mutual funds can be diversified in a number of ways. For example, for 1 investment objective, you have 2. RD Index These are BNI-AM IDX30 (for IDX30 Index) and BNP Paribas Sri Kehati (for Sri Kehati Index). Thus, when the average share price of companies listed on IDX30 decreases, you can still benefit from stocks included in the Sri Kehati Index.
3. For profit, choose products with different capital values.
Many of these tool products are currently selling for around Rp 1000 for one unit investment and a minimum purchase of Rp 10,000, but there are also stocks. mutual fund which are pegged at more than Rp 2,000 per unit and some are sold in dollars.
If you want to build a strong investment portfolio You need to know this This is because mutual fund profits are written as a percentage (%), which means that the more expensive the product, the more. You will only get more profit.
For example, the price of RDPU A per unit is IDR 1,000 and the price of RDPU B per unit is IDR 2500. If both are increased by 5%, the price of RDPU A per unit will be IDR 1050, while the price of RDPU B will be one additional IDR 2,625. Up 50 rupiah per unit while another 125 rupiah per unit.
4. Distribute mutual funds with a central-satellite system.
Master Fund It is an investment product that you intentionally buy for long-term investment and to counter market price fluctuations. This type of instrument that you need to replenish regularly, but does not require short-term market operations.
on the contrary, satellite mutual fund It is a product that you deliberately choose to make a profit in the short term. so that when the price of this tool goes down or rises You can then be ready to sell. To select products in this category You can consider a number of things, such as your risk profile and investment objectives. The value of the related tools and macroeconomic conditions
for the first type You can choose an instrument with a lower risk level than the second type of mutual fund. It’s just that you have to actively market to profit and reduce losses for the second type of product.
Evaluate the work periodically.
Like any other investment tool, mutual funds (especially RDS) are also subject to price volatility. And if you’re not good at managing emotions You may just make illogical investment decisions. Therefore, it is not advisable to check your investment portfolio daily.
but should be checked regularly Whether it’s once a week or once a month, the buy and sell app ultimately tells you the level of success of your investments for each goal and goal automatically.