Investment is the most important investment method in the current financial market, and paper, as a popular investment product, is favored by more and more investors with its unique advantages, but there are also some shortcomings in paper investment. This article will analyze the advantages and disadvantages of paper ** investment, and is only for the reference and learning of investors.
1. What is paper investment
Paper is a personal certificate, also known as a document, and the investor of the product only holds a certificate of title rather than a physical object. Investors only need to open a "passbook account" through the bank that opens the paper trading business, and they can participate in the investment transaction of the paper market, and the investor buys and sells virtual money on the book to achieve investment profits.
Second, what are the advantages and disadvantages of paper investment
1.Advantages of paper ** investment.
1) Single product: paper is a relatively simple investment product, which can avoid the trouble and trouble of investors in selecting products;
2) Simple operation: Just open a trading account through a formal channel, and you can judge the rise and fall of the paper according to the analysis of the rise and fall, so as to carry out the paper trading transaction.
3) Flexible trading: You can buy and sell at any time, and the trading rules are more flexible than physical investment, so investors can adjust their investment strategies in time according to market changes and improve the utilization rate of funds.
4) Low investment threshold: The product does not need to be stored and safeguarded, which reduces the investment cost and allows small capital investors to enter the market for trading.
2.Disadvantages of paper ** investment.
1) Full Trading: Paper ** is bought and sold in full, without leverage, so the amount of capital required by investors is relatively large.
2) Lower returns: Although the return of paper investment is higher than that of physical investment, compared with other online investment products, the income of paper investment mainly comes from the bid-ask spread, and the income is lower.
3) Transaction risk: Affected by various factors such as the global economic situation and monetary policy, there is a certain risk of fluctuation.
3. What ** products can be considered?
At present, it is impossible to open a new paper ** business in China, and if you want to invest in flexible ** products, you can also consider and spot **, which is a ** product with leverage, the income space is very high, of course, there will be higher risks, suitable for investors who want to get good returns in the short term. Because of the risk of slippage, investors should choose a 0 slippage limit platform to invest in spot**, and they can control the range of losses by themselves.
In general, although paper investment has some risks, but the advantages are also obvious, investors in the choice of investment paper, remember to according to their own risk appetite, investment ability, economic strength and investment objectives and other factors, cautious investment, rational investment.