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The difference between financial management and money fund
Smart investors can find that money funds and regular financial management are investment products with low risk, stable expected returns and strong liquidity. So what's the difference between them? Are the investment choices all the same? Let's follow us to see the relationship between the two.

The difference between monetary fund and regular financial management

1, with different investment scope.

Both of them invest in low-risk bond products, and money funds generally invest in deposits or other short-term bonds; The investment scope of regular wealth management products is wider, except for bank deposits and short-term bonds. , but also invest in cash, certificates of deposit, bond repurchase, treasury bonds and other financial instruments with fixed expected returns.

2. The investment ratio is different from the investment threshold.

The CSRC stipulates that the proportion of money funds investing in credit bonds cannot exceed 40% of the net value, and there is no restriction on regular wealth management products; The initial investment of general term wealth management products is 1 1,000 yuan, while the threshold of money funds is lower, which is 1 yuan.

4. The product term and liquidity are different.

The investment period of fixed-term wealth management products is fixed and cannot be taken out before the expiration; Monetary funds are available and highly liquid.

3. The investment risk is different from the expected return on investment.

The bond investment ratio of regular wealth management products is generally higher than that of money funds, so the investment risk of regular wealth management is also higher than that of money funds, and the expected income of regular wealth management will be slightly higher than that of money funds.

Which is better, money fund or regular financial management?

Through the above comparison, which investment method is better? This is a comprehensive analysis. If investors have a lot of spare money, they can choose regular wealth management products with a slightly higher threshold, which will get more expected returns; If investors are not sure about the use of their funds, then choose a money fund that has almost no threshold and can be accessed at any time.

The above is a comparison between monetary fund and regular financial management, and I hope it will help everyone. Warm reminder, financial management is risky and investment needs to be cautious.