1.Determining the time horizon of using the funds: The duration of usable funds will affect your investment decision. For instance, if a certain amount of funds can only be set aside for three months, this amount is not suitable for investment in mutual funds which are used to accumulate long-term capital or which may have large fluctuations within short periods of time. However, if you hope to accumulate money for your children's education or your retirement fund, because the investment period will be long, you can select a mutual fund targeting the long-term optimistic market.

2.Understanding your money management goals and risk tolerance: You should consider your age, income, family situation, and risk tolerance when investing. Generally speaking, relatively conservative individuals should seek to make investments that will yield steady and consistent profits. On the other hand, individuals who make large profits within a relatively short time should be prepared to tolerate dramatic short-term market fluctuations. Persons who are nearing retirement age have only a short time to work and have a decreasing ability to tolerate market fluctuations; therefore, they should invest in relatively stable and dependable funds.

3.Assessing the investment market's fluctuations: In addition to understanding one's own investment goals and risk tolerance, investors should consider information on economic fundamentals, policies and current news reflecting the current state of global markets then select suitable funds during the current period of time.

4.Selecting suitable investment methods: In general, two investment approaches in mutual funds may be employed, namely lump sum investment and systematic investment plan (SIP). Both of these approaches have their own advantages so investors can select either one or both approaches in light of their needs, risk and return preferences, and amount of funds available for investment. Regardless of the type of funds or investment approaches, investors should regularly scrutinize their investments and try to avoid missing the best times for taking profits or stopping losses.

1.Office workers with fixed salaries: Most office workers do not have enough remaining funds to purchase a good stock or mutual fund (1,000 shares) after subtracting their living expenses from their salaries so they can only make small investments from purchasing individual shares. In addition, most office workers can't go to a financial institution in person to perform subscription procedures during business hours. As a consequence, a SIP through which certain amounts are automatically debited from a designated account can be a time- and effort-saving investment approach for office workers.

2.Persons who will have a special need for funds in the future: Such individuals may need funds for the down payment on a home 3 years later, for child's overseas tuition 20 years later, or for retirement needs 30 years later. Because these persons know that they will have need for large amounts of funds in the future, they can prepare by making regular small investments far ahead of time. Through SIP, investors will not only reduce a large financial burden but also remove worries over large future funding needs by promoting saving and the growth of funds.

3.Persons who wish to avoid large investment risks: Because SIP provide the advantage of dollar-cost averaging (DCA), investors can reduce their overall investment costs, lessen risk of price fluctuations, and thereby boost their opportunities for profit.

1.Lower amounts of funds: You can perform SIP without having to withdraw several tens of thousands of NT dollars at once. This approach can reduce the financial pressure on individuals who have relatively little savings.

2.Ability to start investing early: The longer a person invests in mutual funds, the more wealth the person can accumulate. As a consequence, it is better to start investing earlier. Because the money needed for SIP is not great, regular investing can start right away and it is not necessary to wait several months before starting.

3.Forced saving: A growing number of investors rely on SIP as a way to force themselves to save.

4.Dispersal of costs: Because SIP can allow you to reduce cost and risk by buying shares at different prices during different stages, you do not need to worry over investing at a too high price or losing too much money.

1.Definition：
    (1)High yield bond funds: the mutual funds which invest in high yield bonds. So-called "high yield bonds" or "junk bonds" refer to bonds with issuance ratings below BBB-/Baa3 as assessed by Standard & Poor's, Moody's, Fitch, or the Taiwan Ratings Corp., as well as bonds that have not been rated by a credit rating institution. These bonds therefore have quite low ratings, high yield, but high risk of default. When investing in high yield bonds, the mutual fund spreads investment among high yield bonds issued by a number of companies to disperse the risk of investing in a single company's bonds and to let investors enjoy high dividend income. Most of the high yield bond funds currently sold in Taiwan pay dividends regularly (monthly, quarterly, or annually). Classified by regions, there are global high yield bond funds, US high yield bond funds, European high yield bond funds, and Asian high yield bond funds.

    (2)Emerging market bond funds: the mutual funds which invest in emerging market bonds. So-called "emerging market bonds" refer to bonds issued by emerging market nations or companies. According to the currency type of investment target, these funds can be classified as strong currency emerging market bond funds and local currency emerging market bond funds; by investment grade, the funds can be classified as emerging market investment grade bond funds and emerging market high yield bond funds.

2.Investment risk ：
   The major risks of investing in bond funds include interest rate risk, default risk, exchange rate risk, and liquidity risk.
    (1)Interest rate risk: In general, interest rates have an inverse relationship with bond prices. As interest rates rise, bond prices fall, and vice versa. Therefore, the fluctuation of interest rate in the market will affect the volatility of bond price.

    (2)Default risk, also called credit risk, is the possibility that an issuer of a bond will be unable to make interest payments or pay off the face value of a bond once it matures. Usually, the default risk of government bonds is low and the default risk of corporate bonds depends on the credit rating of individual companies.

    (3)Exchange rate risk, also called currency risk, is a financial risk that exists when investing in overseas bonds denominated in non-domestic currency. Once the denominated currency depreciates, it will impact the investment income of the bonds. Conversely, if the denominated currency appreciates, it will also increase the investment income of the bonds.

    (4)Liquidity risk stems from the lack of marketability of an investment that can't be bought or sold quickly enough to prevent or minimize a loss.

Because high yield bonds have low credit ratings, the default risk is relatively high. In particular, poor economic conditions will affect issuers' payment ability and cause dramatic fluctuations in bond prices. The net value of high yield bond funds may be affected due to interest rate hikes, drop in market liquidity, and the bond issuer's default (including bankruptcy or unable repaying interest or principal) causing fluctuations in fund value. In the case of emerging market bond funds, investors should understand that investment in emerging market bonds may entail additional risks involving the emerging market country's or area's foreign exchange controls or major exchange rate changes, as well as risk of political or economic instability. In particular, when emerging market bond funds chiefly invest in emerging market bonds denominated in a local currency, major shifts in the local currency's exchange rate may cause large fluctuations in the fund's net value.