There are many ways of financing, such as deposit, fund, insurance financing, bank financing, etc. But for many investors, the characteristics and advantages of each financing method cannot be well distinguished. So which is better, insurance financing or fund financing?

which is better, insurance financing or fund financing

1. The issuer of insurance financing is an insurance institution, which generally sells it through a bank, but the bank will not be responsible for the product risk and expected income. After investors buy the bank's consignment financing insurance, if there is a claim dispute, they need to find the corresponding insurance institution. The issuer of fund financing is a securities company, which generally exists in the form of bank consignment. Banks charge commissions and are not responsible for product risks and expected returns. If investors encounter problems, they also need to find corresponding fund issuers to solve them.

2. Subscription threshold The subscription threshold for insurance financing is relatively low. Generally, you can buy it for several thousand yuan, and some of them need to be paid in one lump sum, while others can be paid in monthly installments. There are many types of funds, and the common monetary fund subscription threshold is very low, and you can buy it for a few dollars. Stocks, bonds and other types of funds are mostly purchased from 1 yuan, and the starting point for the subscription of fixed investment of funds is mostly around 1-1 yuan.

3. The expected income of products is an investment function added to the risk protection. The expected income of products is generally divided into fixed expected income plus dividend expected income. On the whole, the expected income of insurance financing is not high. Funds belong to equity products, which generally have no fixed term and no fixed expected return. Different types of funds have different risk levels and different expected returns.

4. Investment duration Insurance financing investment duration is relatively long, usually several years or even decades. Funds generally have no fixed investment term, and investors can purchase and redeem them on working days, so the liquidity of funds is relatively good. The above content about insurance financing and fund financing is good, and I hope it will help everyone. Warm reminder, financial management is risky and investment needs to be cautious.