GUANGZHOU (Fund China) – Last week, the stock marker did not continue to stabilize. The major index slipped all the way. And all types of funds, without exception, were also net impaired.

Since 2008, the decline of the market is similar to the trend of unilateralism. The factors influencing the market have changed from the external economic situation to domestic macroeconomic level. This effect on the market always will increase gradually. Especially in the continuous market, the psychological level has been developed to a fragile extent. And during this period, the psychological state of panic will be more obvious. The above factors contribute to the excessive market reaction last week.

Different opinions on the follow-up development of the market were gradually emerging in fund management companies. Those with calm attitude made better comparative advantages. In addition, the differentiation of fund companies’ stock proportion is also very obvious.

Since the marker fell in non-rational, the probability to fall in a straight line will gradually decrease in the future. In the period when some investment values appear, financial experts advise investors not to be swayed by short-term panic. Instead, they should have confidence in the fund management company’s brand outstanding funds. And they can choose a blue-chip style prominent fund that has a good performance for long-term holding.

Copyright Fund China 2009.

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