The poor are poor, the rich are rich

Chapter 112 4 Avoid Risks and Advance to the "Money Line"

Chapter 234 Avoid risks and advance to the "money line"

Different investment projects have different risks, different returns, and different meanings to investors.Therefore, in terms of the proportion of investment funds, they cannot be exactly the same.Due to the different proportions of funds invested according to different investments.

The primary goal of investing is capital preservation.Capital preservation is to preserve the property you already own and prevent it from being lost, lost, or devalued.Because inflation will increase the price of goods, as long as there is inflation, it will depreciate money. In order to avoid depreciation of money, at least maintain the original value, investment capital preservation is required.Capital preservation is the investment with the lowest risk and the most stable investment.Therefore, the capital ratio should be the highest.In addition, some foreign currencies with stable currency values ​​and exchange rates can also be used as capital-guaranteed deposit investments, such as US dollar deposits, pound deposits, and euro deposits, which charge certain interest, and the risk of exchange rate fluctuations is also low.

On the basis of deposits, you can further invest in capital preservation and appreciation, and purchase life insurance.In the past, many people didn't know savings insurance and life insurance, so they didn't like to buy them.But now, people have understood the significance of these insurance programs for personal finances, and although buying insurance for a longer period of time, it provides much higher returns.As long as you can choose an insurance company with strong strength and stable financial management, the risk is as low as bank deposits.

But the investment market is changing rapidly.If you are an investor who often watches the market, you will deeply understand that market changes are unpredictable. In order to make accurate investment judgments, you must find measurable clues in the unpredictable and try to make more reliable predictions.Even if you are not diligent in watching the market, as long as you look at the people queuing up in the stock market through financial news reports, you can estimate which stock prices will continue to change due to frequent buying and selling.

The most basic market law is: if the amount of buying orders exceeds the amount of selling orders, the price will rise, and if the amount of selling orders exceeds the amount of buying orders, the price will fall.It's that simple, prices are determined by supply and demand in the market, with buying orders representing demand and selling orders representing supply.Supply greater than demand drives down stock prices, and demand greater than supply drives up prices.Every investment market is like this.

Therefore, as long as you can accurately predict the future price trend and seize the opportunity, you can make a lot of money.Choosing the right investment opportunity is to combine all the factors related to the invested project for comprehensive analysis, find out a rule from it, think whether it will rise or fall, and make a buying and selling decision.

Of course, there is a lot of information on the market, some are true and some are false.Some sources of information have high credibility, while some do not know the source at all, and must not be used as the basis for investment.

Some large investors often use the investment strategy of "speculating" information.The advantage of speculating on news is that it is fast and affects the reactions of many retail investors. Therefore, when important news spreads, it is not known whether it is true or not.

Information is an important investment reference.But investors can't trust the market.The market is mixed, and there are all kinds of people, including entrepreneurs and scammers.A lot of information from the market may be deliberate rumors and dissemination of false news. Although the China Securities Regulatory Commission does not allow these activities, it is very difficult to verify the source of the rumors.

It is essential to refer to market information for investment success, but one cannot fully trust the market, otherwise it is easy to fall into a trap and become a victim of the market.

(End of this chapter)