The first pot of gold is the material basis for young people to pursue an ideal lifestyle, so the principal that can be used in the early stage of financial management is bound to be less, the risk that can be tolerated is not high, and the preparation time is relatively long. Therefore, if you want to achieve the investment goal of the first pot of gold, regular investment** is a more suitable financial management tool for young people.
Regular quotas plus active management by investment experts
Let young people save time and effort
For example, if you plan to invest 2,000 yuan a month, financial tools with a lower threshold (such as **, etc.) are more likely to be welcomed by young people at a time when financial management has become a national consciousness. However, if they choose**, young people need to rely on their limited knowledge or experience to investCompared with the risk of limited knowledge and experience, the active management by investment experts** can save a lot of time and mental costs for young people.
Comparison of major investment instruments
Source**: J.P. Morgan Asset Management, as of 1 December 2023.
**Diversify your investments
Reduce the risk of volatility in the first pot of gold
In addition, because the initial investment amount is relatively low, for young people, in the process of accumulating the first pot of gold, once they encounter relatively large market fluctuations, the principal may be greatly discounted, so that all the hard work is in vain. However,Compared with other financial instruments, such as high volatility, due to the characteristics of diversified shareholding allocation, the volatility is relatively controllable in the long run, so for young people, the probability of a significant investment injury is relatively low, and the probability of investing in a "comeback" in the future is also relatively high. What's more, the longer the investment**, the higher the chance that young people will strive for higher returns, because "time" is advantageous for young people when investing**. They have fewer occasions when they urgently need to use cash, and they can use their own time in exchange for long-term asset appreciation, so that young investors can not only rest and work, but also help achieve the goal of the first pot of gold in their lives.
Four simple steps to help young investors invest well**
The first step is to find a ** company with a good reputation.
To judge whether a first-class company is excellent, word-of-mouth is a very important reference index, but word-of-mouth is not a cloud of people or hearsay, but to understand whether a first-class company can be affirmed by professional institutions in the following indicators. For example, whether its history is long enough, whether the qualifications of the investment research team are complete and senior, whether the product line is diverse, etc., these indicators can help you judge the quality of a first-class company.
The second step is to choose the one that suits your risk attributes.
Since everyone has a different tolerance for the use of funds, financial planning or investment risk, investors must clearly understand whether their investment attributes are conservative (low risk tolerance), moderate (medium risk tolerance) or active (high risk tolerance) before actually investing. In fact, in accordance with the requirements of laws and regulations, before the actual purchase, the company (or bank, etc.) will require investors to complete the risk assessment questionnaire, so that investors can understand their own risk attributes, and then choose the one suitable for their own risk attributes to invest. According to the observation of J.P. Morgan Asset Management in actual business, it is found that young people who are just starting out in the workplace, or young and middle-aged people who pursue the quality of life, usually choose active ** to make regular investment, because their investment time can be very long, and the fixed living expenses are not large, and the initial investment amount is not high, so the expectation of investment will be relatively high, and they will naturally choose active investment products. Middle-aged investors, both old and young, usually have investment attributes across the three aspects of positive, stable and conservative, because they have richer investment goals, so they are more diversified in risk attributes, and their product choices will be more diversified.
The third step is to confirm the subscription fee and other fees.
After finding the right one for you, the next thing you have to face is the cost. In addition to the principal, the fees of regular investment** usually include subscription fees, redemption fees, conversion fees, etc., and these fees are different from the regulations of different sales platforms.
Step 4: Set the date and amount of the investment that will be automatically debited.
At the time of subscription**, each sales agency can set a different date for the deduction. According to our observation, the deduction date set by most ** sales agencies will fall at the beginning or end of each month, that is, the day when the average person pays salary. For example, after deciding to invest regularly, the deduction date can be set around the monthly payday, such as the 8th or 28th of each month, and the deduction amount can be determined according to your monthly idle funds, such as starting from 1,000 yuan. Once you've set it up, you'll be automatically debited for your investment every month in the future.
Invest in a fixed amount on a regular basis**
Long-term investment creates room for added value
Of course, since young people have relatively short financial experience, building investment discipline for themselves can make up for the lack of financial knowledge and experience. Regular investment is a way to establish investment discipline for young people, through long-term and disciplined investment behavior, it helps young friends to save their first pot of gold as soon as possible and create an ideal lifestyle.