But before you start investing, you should consider three things:
1. How much risk can you bear?
Investment is risky, so be cautious when entering the market. A deposit of 220,000 yuan, neither more nor less. More importantly, what this amount means to you. If you are waiting to buy a house, get married, or see a doctor, then it is not appropriate to invest with this money. We all know that high risks have high returns, and according to different risk levels, the targets available for investment are also different.
Low-risk level: For example, money funds, bank wealth management products and national debt are all low-risk investment products. It can be said that almost all of them are guaranteed income, but the yield is low, with an average of about 4% a year.
Medium risk level: some hybrid funds, index funds, etc. Hybrid fund refers to a fund composed of stocks and bonds, because the stock component increases certain risks. Index fund refers to the fund based on stock index. If there is no major risk event, the general fluctuation is relatively stable.
High risk level: stocks, stock funds, real estate, commodity futures, etc. These assets are highly volatile, and on the other hand, they need more professional knowledge. If the operation is careless, it may cause more than 50% loss.
2. What is your expected income?
Some of my clients often encounter this problem. Invest in a poor quality asset and expect a higher return. In the end, it is often unsatisfactory and physically and mentally exhausted, so your expected return must match the investment target, so that you can make more rational and reasonable investment decisions.
3. Liquidity requirements?
Liquidity refers to the time when you need money. For example, if you want to pay for your child's tuition in three months, but the assets you invest need to be sold and realized in six months, this is liquidity risk, so you should give priority to those investment targets that are easy to realize. Real estate is not recommended, and equity funds have good liquidity.
Considering these three aspects comprehensively, your investment will not be a big problem.