Timeless short- and medium-term financial products. Recently, the sales of short- and medium-term bank financial products have been booming, which is inseparable from several characteristics of such products. First, the product has high returns. Compared with the income level of medium- and long-term time deposits during the same period or even medium- and long-term time deposits, the expected annualized rate of return of short- and medium-term bank financial products has obvious competitive advantages. Taking CCB's related financial products as an example, the current three-month bank time deposit interest rate is 3.1%, while the expected annualized rate of return of CCB's principal-guaranteed financial products for the same period is 4.6%, a difference of nearly 50%! This gap in income is also evident in other products with different maturities (such as one month, six months), so it has been sought after by a large number of investors. Secondly, the product risk is low. The current types of short- and medium-term bank financial products basically include bond type, bill type, capital guaranteed type, and high-liquidity daily open type (asset pool). The main investment objects are inter-bank bond market government bonds, policy-based Financial bonds, central bank bills, corporate short-term financing bills, medium-term notes, repurchases, interbank deposits and bank acceptance bills, etc., are all very safe investment objects. They are extremely safe in terms of product risk control, so they are very popular among investors. trustworthy. Again, the starting amount is low. At a time when deposits continue to have "negative interest rates", funds and stocks are cold, real estate investment is under control, gold prices are high, and trust and PE thresholds are high, the investment channels for ordinary investors have become increasingly narrow. Compared with trusts and PE funds that often cost 1 million yuan, 3 million yuan or even 10 million yuan, the starting amount of short- and medium-term bank financial products is mostly 50,000 yuan or 100,000 yuan, which is still acceptable for most ordinary investors. Accepted. Therefore, short- and medium-term bank financial products with high returns, low risks, and low starting amounts have become a rare "air-raid shelter" for ordinary investors at this stage. This has also attracted a large number of fans for short- and medium-term bank financial products. Finally, the uncertainty of the investment market prospects further reflects the high liquidity advantage of short- and medium-term bank financial products, making them a "safe haven" and "station" for many investors and even speculators to avoid market risks in the short term and wait for market opportunities. Since short- and medium-term bank financial products have so many advantages, is it suitable for investment in all types of funds? The answer is no. In terms of fund use, at present, there are two types of funds suitable for investment in short- and medium-term bank financial products. First, it is the investor’s family reserve fund. The biggest feature of this type of funds is that they can be used irregularly and require high liquidity. Therefore, investors can invest part of their family reserve funds in short- and medium-term bank financial products. Secondly, there are funds with clear purpose and usage time. This type of funds is mainly divided into two types. One is spare money prepared to invest in the stock market and funds. For example, if an investor thinks that there will be no opportunities in the market in the next month, then he can choose to buy a bank financial management fund with a term of less than one month or even open every day. products to ensure investment income and liquidity; the other is large amounts of funds that need to be used or consumed in the short to medium term. For example, if an investor plans to buy a house or a car in three months, then the money will not be able to withstand any Therefore, investors need to invest in relatively stable products and can no longer choose risky investment channels such as stocks and funds. At this time, short- and medium-term bank financial products have become a good choice for him. However, many investors like to repeatedly purchase short- and medium-term bank financial products with spare money that they have not used for a long time. This is actually a misunderstanding. Because the returns of short- and medium-term financial products are often lower than those of medium- and long-term financial products, and in the process of renewal, due to issues such as product issuance time, fundraising period, and arrival time, it is easy to waste funds in terms of timeliness and other aspects. Therefore, investors should select products and match the investment periods of each product so that funds can be used effectively and rationally to maximize returns. Chen Puran, Product Manager, Wealth Management and Private Banking Department, China Construction Bank Beijing Branch; Jiang Longjun, National Senior Financial Planner of Bohai Bank and National Outstanding Wealth Manager; Bank wealth management products are divided into guaranteed income and non-guaranteed income. It is divided into bonds and money market instruments, trusts, structural types, overseas financial management on behalf of clients (QDII), etc. Bank wealth management products are safer than high-risk products such as securities, funds, trusts, futures, foreign exchange, private equity, and precious metals, and have obvious yield advantages over bank savings. As a defensive variety with high cost performance, it is increasingly favored by customers (especially individual customers and large and medium-sized institutional customers). Commercial banks will set a starting sales limit for a single customer based on the risk rating of financial products. Taking individual customers as an example, financial products with risk ratings of Level 1 and 2 are mainly aimed at cautious and stable customers, with a starting amount of RMB 50,000; financial products with risk ratings of Level 3 and 4 are mainly aimed at balanced customers. For aggressive customers and above, the starting sales amount is RMB 100,000; for financial products with a risk rating of five, only for aggressive customers, the starting sales amount is RMB 200,000. Individual investors can rationally judge the risk of relevant products based on the starting sales amount to determine financial products that meet their own risk preferences, income expectations and funding schedules. At present, the wealth management products sold by commercial banks are mainly concentrated in the short and medium term of 1-6 months (inclusive). Most of them invest in bonds, money market instruments and structured products, and have a high correlation with the market capital prices in the same period. .

For example: Bohai Bank's structured deposit financial products - "Boying" series, are lower-risk products with guaranteed capital and floating income. Its derivatives are partly linked to the London Interbank Offered Rate (Libor) in U.S. dollars, and the product's expected annualized return is The rate is within the range of 4%-5%. As long as the end-of-period price of the linked underlying is less than or equal to 8%, customers can obtain the expected annualized rate of return agreed upon by the product. Judging from the volatility level of Libor interest rates in recent years, the yield risk of this product is almost zero. The current property market control policies continue to be tight, CPI is turning downward, interest rates are expected to return to positive income levels, and market funds are abundant. In addition, many uncertainties in domestic and foreign markets still exist, and long-term interest rates are expected to be lowered. Short- and medium-term financial products have flexible terms and good liquidity, making them a very suitable choice for customers who take into account both liquidity and profitability. For customers who are unwilling to face the risk of frequent choices, they can also purchase medium- and long-term financial products. When most investors actually purchase bank financial products, they are often keen on "shopping around." However, from a non-professional perspective, it is difficult to make an objective and comprehensive evaluation of financial products. It is neither realistic nor necessarily cost-effective to conduct frequent "deposit relocations" based solely on superficial yield rates. Generally speaking, small and medium-sized commercial banks are often more willing to adopt profit-sharing methods to attract customers due to their small reputation, single product number, and small network distribution. The yield rate of their financial products will be slightly higher than the average level of their peers. Investors can adhere to the principle of "nearby, convenience, and service priority", choose relatively familiar bank outlets, and purchase corresponding financial products regularly to reduce the "vacancy period" between product connections. For today's financial experts, transferring funds through online banking, purchasing financial products, and using "notice deposits" to fill the "vacancy period" are nothing new. Generally speaking, in the investment and financial management market, there is no distinction between good and bad products, only whether they are suitable or not. As a defensive product with both offense and defense, short- and medium-term bank financial products better integrate the advantages of security, liquidity and profitability. In the current situation where the capital market trend is still unclear, it is undoubtedly a better public financial product. Young white-collar workers with frequent capital inflows and outflows, investors with short-term capital storage needs, and stock traders are more suitable to purchase short- and medium-term financial products. In addition, some mid-to-high-end customers who have extremely high liquidity requirements and low risk tolerance, especially small business owners with large cash flows and stock market and futures customers, if they have large amounts of idle funds, short- and medium-term financial products are also suitable for them. Not a bad choice. Second, pay attention to subscription and redemption rates. Some short-term products are locked for a fixed investment period of 7 days, 1 month or 3 months, and investors cannot redeem them midway; some short-term products have early redemption clauses for customers to withdraw midway. At present, the rates of bank wealth management products mainly include subscription fees/subscription fees, redemption fees, annual product management fees, annual custody fees, excess income performance compensation, etc. Although each item is not much, the total is still considerable. Third, we must pay attention to the expected rate of return. Due to different investment scopes, the expected returns on short- and medium-term financial products vary greatly. Even for products of the same type, the expected returns from each bank vary. Therefore, you should make a choice after multiple consultations and understandings. Generally speaking, a higher expected rate of return refers to the income of financial products under ideal circumstances. There are certain market risks, and the expected returns may not be realized in the end. The risk of fixed rate of return is almost zero, which means that its rate of return cannot be too high. The minimum rate of return for short- and medium-term financial products is generally very low. On the basis of ensuring the minimum return, it also has certain profit potential. Therefore, when choosing a product, you must consider the possibility of realizing product benefits. You can refer to the product's performance in previous years or pay attention to market trend analysis. Fourth, the issue of fund utilization efficiency deserves attention. Many investors believe that the period between the financial management subscription date and the fund arrival date is counted as the term of the financial management product and participates in interest calculation, but this is not the case. Generally speaking, the time between the registration date and the maturity date of a financial product is the interest-bearing investment period of the product, and the interval between the purchase of the financial product and the registration date and the interval between the product expiry date and the payment date, None participate in calculating interest. For mid- to long-term products, the difference between the interest rate of 2-3 days and the payment date is not obvious in the actual income of customers. However, for short-term products with an investment period of only a few days or one month, the impact is relatively large. Significantly. Investors can give priority to short-term financial products with fast interest rate and short payment time. Fifth, short- and medium-term financial products are not ordinary savings deposits and are still risky. When ordinary investors purchase products, it is best to choose products with lower risk coefficients where the raised funds are used to invest in bonds, bill-like assets and other types of assets. At present, various banks have launched similar products. For example, Bank of Communications' "Smart Plus" series has four varieties: 7 days, 14 days, 21 days and 28 days. Investors can subscribe for products on any working day. The investment period will be based on the selected 7 days, 14 days, 21 days and 28 days. If the investor does not redeem the investment at the end of the period, the product will automatically enter the next investment period. The expected years corresponding to several products The return rate is 3.2%-3.9%. It should be reminded that not all investors are suitable for short- and medium-term financial products. For example, some investors are very concerned about the "time in transit" of rolling investments, so they may wish to consider some alternative products, such as the financial weekly plan launched by banks.

It seems that the expected rate of return of the financial management week plan is not as good as that of regularly issued financial products, but the financial management week plan uses specific time deductions and principal and interest return, and can also continuously roll investments, which greatly saves the "time in transit" of funds. In the long run, , the actual rate of return is not lower than purchasing a certain financial product alone.