Habit 1: Keep the principal
Always remember, if you stay in the green hills, you are not afraid of burning without firewood. The principal is a seed, without which you can't sow, let alone reap. Experts pointed out that before investing, it is necessary to set a stop-loss line, strictly abide by investment discipline, control risks within a controllable range, and keep the principal forever, which is something that every investor needs to keep in mind.
Here I have to talk about the golden rule of Warren Buffett: first, keep the principal; Second, keep the principal; Third, remember the first and second rules. Soros also said: If you think you are successful, then you will lose the process that made you successful. One must be willing to admit mistakes and accept pain. If you make a mistake but don't want to admit it, don't want to accept the pain, or even stop feeling the pain of the mistake, then you make another mistake and lose the advantage of continuing to win. If you find yourself making a mistake in a transaction, never stick to your guns and make a mistake. You should completely change your business direction without delay.
Habit 2: Make a budget and execute it.
Wealth does not mean how much you earn, but how much you still have. It sounds boring and pretentious, but it gives you enough reasons to discipline yourself and help you achieve your desired goals in 2, 20 or even 40 years. Making a long-term financial budget and strictly implementing it can not only change your bad habit of spending money indiscriminately and aimlessly, but also change your outlook on money and values. Most realistically, at least you can have the richest wealth. And isn't this the goal pursued by a financial expert?
In real life, family budget can play the following roles for families: 1. Managing expenditure. The budget provides a standard for comparing actual expenditure with planned expenditure. When you carefully compare the actual and budget of each expenditure on a regular basis (such as the end of the month, the end of the season and the end of the year), you can find out which expenditure items have exceeded the standard and which expenditures have a balance. Second, check the liquidity. Simply put, how much liquidity do you have (cash and demand deposits, etc.). ). If you find that the family lacks liquidity, you can use the budget (especially in the short term, such as monthly) to monitor the outflow of funds. At this time, it may be necessary to reduce or postpone an expenditure to ensure that there is enough liquidity to pay the payable project. Third, the goal plan. The budget pays attention to the family's financial goals, because most of them are related to accumulating funds. If there is no budget plan, it is difficult to achieve the financial goals set at the beginning, whether in the long term or in the short term.
Habit 3: Regular fixed savings
The concept of regular savings is not to spend money first, but to save as much as you can, but to "save some before you consume". When teaching economics at Harvard University, there was a concept that you should save 30% of your salary every month before you can spend the rest. This is known as "Harvard Doctrine". The disadvantage of spending before saving is that there is very little money left at the end of the month, and the money that Harvard people require to save every month is the most important goal every month, which can only be overfulfilled, and there is no excuse or reason to give up. So, there is more and more money left. In fact, everyone's wealth comes from good financial habits, and anyone's wealth achievement is not achieved overnight. Have experienced a hard accumulation process from small to large.
Most financial planners believe that people must learn to force themselves to save when they are young, even if it is 100 yuan per month. Compulsory savings does not mean that you can only choose to deposit in the bank. Paying a small amount of insurance every month and buying money market funds are all options. Because insurance has the particularity that once the insured amount is interrupted, it will become invalid, and the compulsory effect will be better. Compulsory savings, like bookkeeping, need to be adhered to. Getting rich overnight is a side road to financial management, and a long stream of water is the right way.
For people who are used to going in with their left hands and out with their right hands, you might as well use this method. Don't leave too much cash in your hand. It is better to deposit it regularly. In this way, when you want to spend money indiscriminately, you have to turn your fixed account into a current account, and thinking about those troublesome procedures may give up.
Habit 4: invest with scattered funds
Buffett, an investment guru, once had a famous saying about investment: "The success of investment only needs steady methods and firm will, and insists on long-term and diversified investment. Unfortunately, many people's fear and greed block the simplest but effective methods and reasons. " Many people have confidence in the long-term growth of China's economy and even the world's economy and have a fixed income, but it is hard not to be troubled by short-term economic noise. The solution to this problem is fixed investment.
When it comes to the fixed investment of the fund, everyone is familiar with it. Through the fixed investment of the fund, the operation will not be interrupted with the ups and downs of the stock market, adhere to long-term investment, and achieve stable growth of wealth. There are many advantages of fixed investment in the fund, such as avoiding timing, balancing investment, diversifying risks, compounding interest and increasing value, compulsory saving, simple procedures and so on. , so it is accepted by more and more investors. In the period of market shock, by means of fixed investment, we can gradually put it into the market at a lower average cost, which can pave the way for future profits. The threshold for fixed investment of funds is also low, and the starting point is generally in 300 yuan or 500 yuan.
Fixed investment is also a way of long-term investment. Buffett also said: "If possible, I would like to hold it for a lifetime." The difficulty is that whenever the stock market fluctuates, it can be revealed from the number of redemptions or lightening positions that most investors are still easily influenced by market news or herd mentality and band operation, and easily abandon their carefully selected wealth management products such as stocks and funds.
Many people complain that they can't afford to invest. In fact, investment is not achieved by a large amount of investment. Cutting your expenses and saving every dollar, even a little, can bring a lot of wealth. If you invest 100 yuan every month from the age of 24, you can get a return of about 10%. By the age of 34, you will have 20 thousand yuan, and by the age of 65, those small investments will become more than 6 10000 yuan.
Habit 5: Care about your investment.
After the investment is implemented, it does not mean the end of the investment behavior. If you neglect your investment at this time, it will be difficult for your investment to receive the expected return. Investment needs continuous attention and unremitting learning to maximize returns. It is necessary to pay close attention to the market situation at all times, and modify the investment already made if necessary. No one is born an expert in financial management. Learning investment is a long-term process, which requires us to constantly collect and sort out the economic and financial information around us, and constantly learn investment skills and apply them. Most investors can become good investors as long as they watch and listen more and are familiar with financial institutions and products.