We all know that investing in spot crude oil has high returns and high risks, so investors should learn to control risks and minimize the risks of spot crude oil investment in order to get the maximum benefits from spot crude oil investment. So how to control the investment risk of spot crude oil? This paper mainly summarizes the following five aspects, hoping that investors can pay attention to and do a good job in risk management and control.
I. Establishing risk control systems and processes
Investors' own factors, such as operating risk, internal control risk,
Financial risks, etc. It is often caused by imperfect personnel and system management. It is of great significance to establish a systematic risk control system and improve the investment management process of spot crude oil to prevent man-made moral hazard and operational risk.
Second, choose the right price.
Whether you are long or short, investors should try to enter the market near the long-term average comparable price, and don't chase after the price. Precious metals are greatly adjusted in each round, and spot crude oil investment is more than gold, so it is very important to choose the admission price and timing.
Third, choose the right channel.
If you have a strong interest in trading, you can do business opened by banks, and the safer investment channel is to buy physical crude oil.
Try to participate in leveraged trading as little as possible. If you catch up with the peak and encounter a callback, leverage will make you lose a lot. Investors should pay attention to identify various spot crude oil investment products. Be wary of products with extremely low thresholds and extremely high leverage.
Fourth, implement investment discipline.
The discipline of spot crude oil investment is more important than anything else. Investment discipline is the ultimate foundation of risk prevention and the necessary premise of all investment behaviors.
Investors who have just entered the market will often pay a heavy price if they do not strictly enforce the investment discipline after making their investment plans.
In crude oil investment, the elements that need to be clarified in investment discipline include: trading reasons, capital investment, stop loss and increase positions, and handling when the market suddenly changes.
Verb (abbreviation for verb) makes an investment plan.
First-time investors should make specific plans for their trading direction, expected profit level, acceptable maximum loss, investment strategy, contract month, total capital and investment ratio. Only by thinking and making an investment plan can we objectively and comprehensively analyze the complex factors affecting the oil spot trading market in advance, so as to manage our own funds, pursue the maximization of income and control our own risk level in the trading process.