Among the many fund managers, how to choose the most powerful one?

For those of us who manage money, choosing a fund means choosing a fund manager, because the fund manager is the soul of the fund, and your income is ultimately determined by the fund manager's operations.

So how to choose a good fund manager?

Before we talk about this, let’s look at a short story.

In 1983, the famous fund manager Richard Dennis had a debate with his old friend Bill Eckhardt, and finally they decided to make a bold attempt.

As a result, Dennis placed large advertisements in "Barron's", "Wall Street Journal" and "New York Times" to recruit trading students.

Because of Dennis’ huge reputation in the investment community, more than 1,000 people signed up, but he only met 80 of them, and only 13 eventually became students.

This group of students come from different walks of life, and their life experiences are very different.

“The students were called ‘turtles.’ (Mr. Dennis said he had just returned from Asia when the program began. He explained what he had said to others, ‘We are growing as traders, just Like in Singapore they are growing into turtles')" -- Stanley W. Angrist, The Wall Street Journal.

After September 5, 1989, Richard Dennis began to teach them the basic concepts of trading, as well as his own trading methods and principles.

This training course became the most famous experiment in the history of trading. In the following four years, the Turtles achieved an average annual compound interest rate of 80%.

Richard Dennis proved that people with basic qualities can become excellent traders (fund managers) through training.

After that, Richard Dennis opened several more trader training courses like this.

In the end, a large number of those who were trained and passed eventually became excellent fund managers and achieved outstanding results in the capital market.

So how can we choose a good fund manager to ensure our returns?

The specific points are as follows:

1. The body is the most expensive capital

First of all, you must have excellent physical fitness. This is the most basic. But it is actually a very necessary condition.

From the outside world, fund managers and researchers are chatting and laughing, and some people even think that after the market closes at 3 p.m., they are equivalent to getting off work.

In fact, this is not the case. The work of fund managers is very powerful, and many even work more than 12 hours a day, and working overtime on weekends is also normal.

Although fund managers have limited time for trading when making investments, in fact the real work lies outside of trading. It is said that one minute on stage can take ten years off stage. Research, road shows, market analysis, target selection, and formulation of investment strategies and risk control are all time-consuming and labor-intensive.

As far as I know, there are many fund managers who get up at 4:30 in the morning and go to bed at 9:00 in the evening. You see, when he is awake, his mind is always filled with announcements, conference calls, and market reading.

It is difficult to persist in this industry without a strong body!

So, when we make any investment, investing in ourselves is always the first priority.

Your body is your most valuable asset.

2. Always be diligent

Shanghai’s Lujiazui, this magical financial center, is home to top students from major prestigious schools. Their IQ and EQ are very high. Everyone is eager to succeed. There is no Diligent, who will be better than them.

There is no Ren Zesong on the market, but his legend has always existed.

The former star manager of China Post Fund, the "No. 1 Brother of China Post" and "The No. 1 Public Fundraising Brother", was regarded as a god by virtue of his outstanding trading performance in the past. Everyone once praised him as the successor to Wang Yawei. The best fund manager born in the 1980s. If he is not diligent, he will not have a position in the fund industry.

In order to investigate the factory of a listed company, Ren Zesong once traveled a long distance to the countryside where there were no cars. In order to hitch a ride on the road, he got on a tricycle pulling chickens, which made him smell like chicken manure.

Later, in order to investigate LeTV, I went to the hospital in person and asked about LeTV's situation at Jia Yueting's bedside. Of course, LeTV was shocked.

But this shows from the side that if you don’t have a diligent gene, you will not be a fund manager.

On June 26, 2018, China Post Fund issued a fund manager resignation announcement, and Ren Zesong resigned from the 8 funds managed. At that time, Ren Zesong said when facing media investigation: I am too tired and want to take a rest.

Indeed, with 8 funds, there will be no shortage of portfolio targets, which requires extreme diligence and a lot of energy. If there is no diligence, even if God rewards this bowl of rice, it is impossible to eat it.

3. High degree of education

Finance itself is an industry with high threshold, but if you want to be a fund manager, it is difficult to enter this industry without a high degree of education. Take Ren Zesong above as an example. He has a master's degree from Tsinghua University.

The financial industry can be said to involve all aspects of society and various industries. Without high academic qualifications and professional knowledge as a base, it is difficult to have a correct understanding of the industry and market conditions. Not to mention how to read professional financial reports and interpret various statements and information.

Although academic qualifications often do not equal ability, a high academic qualification indicates a strong learning ability.

In the ever-changing financial industry, the ability to accept new things and learn is crucial.

4. Rich past experience

No newbie who has just entered the market can become a fund manager from the beginning.

So when you choose a fund manager, you must pay attention to his past resume.

Only those who have experienced the bull-bear transition can understand that the market is not only a place to make wealth, but it is also a place where dreams are broken.

Only those who have experienced bulls and bears, experienced ups and downs, can truly maintain awe of this market.

With this heart of awe, early fund investment operations will invisibly add an extra layer of protection to your wealth. When managing funds, you can also better understand the importance of risk control, and you will be less likely to act in a hurry for quick success. This is also your responsibility to investors.

In addition, the formation of a fund manager's investment strategy is also formed through long-term investment managers. It can even be said that a fund manager’s investment strategy often becomes his or her personal brand.

5. Listen to their words and watch their actions

Zeng Guofan had three points to recognize people: first, he must have ambition, second, he must have knowledge, and third, he must have perseverance. Zeng Guofan's explanation is:

If you have ambition, you will never be willing to be low;

If you have knowledge, you will know that knowledge is endless and you will not dare to be self-sufficient with one thing;

Have perseverance , then nothing is impossible. If you want to succeed in your career, these three are indispensable.

Instead of listening to a fund manager’s rhetoric in road shows and publicity, it is better to look at his consistent words and deeds.

A good fund manager must have quick thinking, careful logic and excellent insight.

Without these points, in the market, we can only be the common people being cut off from leeks, or we can say that we will not do very well.

The above points are all necessary conditions for us to choose a good fund manager. If they are not met, it is better for our investment friends to be more cautious.

After all, only by maintaining your roots can you ensure that you have the opportunity to make profits when the market comes. The interests of investors always come first.