Keep your deposit safe! Insider 3 Things Retirees Should Avoid in 2024
Before we look at how pensioners protect their pockets, let's talk about an interesting phenomenon in economics -"Sunk Cost Fallacy"。
This concept describes how people tend to continue to invest in an unfavorable decision due to factors from the past, ignoring future benefits and costs.
In fact, this issue is closely related to the financial management problems faced by older retirees.
So, what mistakes should we avoid in a complex and volatile financial environment? The relevant departments remind us that from next year, retirees should avoid the following three points.
01 Be wary of high-yielding **.
Maintaining financial stability and security is crucial in retirement. However, in real life, the market is full of attractive high-yield wealth management products, which always attract everyone's attention with exciting returns and returns, but there are often unknown risks lurking behind them.
Generally speaking, high-yield products always come with a high risk and a greater chance of losing principal. For most pensioners, their pension is the result of years of hard work, and any investment mistakes can have an irreversible impact on their quality of life.
First of all, in the face of these high-income **, it is recommended that retired elderly people be vigilant. The first principle of financial management is security, especially for pensioners.
Secondly, it is necessary to avoid blindly following the herd, especially if you do not know much about a certain product or market environment, the result of blindly following the herd may lead to significant losses.
In short, in the face of high returns, elderly retirees should maintain a prudent attitude, put the safety and stability of funds in the first place, and neither blindly and excessively chase high, nor ignore potential risks, so as not to cause significant losses.
02 Understand the intricacies of financial products.
In today's financial markets, there is a wide variety of products, each with its own unique features and risks. For retirees who want to participate in this type of investment, understanding the intricacies of these financial products is key to protecting their money.
For example, in today's market, whether it's bank wealth management or savings,** bonds, insurance, and other types of derivatives, each product and the people behind it have a specific way of working, yield, and risk level.
For example, savings are one of many financial products with lower yields but relatively safe, while ** can provide higher yields, but also come with a significant risk of capital loss.
It is important to note that the benefits and risks of any product vary depending on market conditions. Since each investor's risk tolerance is different, the investment products that are suitable for them also vary from person to person.
However, due to the complexity of the information on financial products, it is more difficult to understand, especially for elderly pensioners who do not understand financial terms. Complex product manuals and complex investment jargon often make it difficult to understand the true nature of the product.
Therefore, older retirees are advised not to make such high-risk investments if they do not seek professional help when choosing financial products.
As for some emerging wealth management products, such as P2P online loans, although the yield of these products may be higher, the risks and uncertainties are also greater, and the retired elderly should be extra cautious when choosing these emerging products. They should understand the potential risks and benefits of these products, as well as the legal status of the products, to ensure that the products are safe and reliable.
It is worth mentioning that financial markets are not always stable, and economic cycles, political changes, global events, etc., can cause market volatility. Therefore, it is extremely important for inexperienced retirees to take into account their risk tolerance, market trends and overall economic environment when choosing investment products.
In conclusion, it is advisable for pensioners to avoid unnecessary financial risks in order to guarantee the safety and stability of their assets. They should not get involved in anything beyond their means, but should be more cautious about whatever they can.
03 Prevention of fraud and fraud.
In this age of information, pensioners have become the focus of scams and frauds, which not only greatly endanger the property security of the elderly, but even have a significant impact on their psychology.
So, to avoid this, seniors should know how to protect themselves from cyber scams and frauds.
First, maintain a high level of vigilance.
Older adults should be highly vigilant when engaging in any form of financial transactions. Nowadays, the common fraud methods used by criminals are: SMS, email, **social ** platform, etc.: SMS, email, **social ** platform, etc. They will generally use bait information such as fake bank notices, tax office notices, high lottery prizes, etc. In this way, the trust of users is earned, and the scam is committed.
The common denominator of these ** is that they all try to trick the victim into providing personal information, such as a bank account, password, or proof of identity.
Second, to ensure the reliability and safety of the best.
The forms of online fraud are also becoming more and more novel. When the elderly use online banking to participate in online investment or shopping, they should first ensure the reliability and security of the company, and avoid unknown links, which can lead to theft and loss of information.
In addition, if you encounter a suspicious situation, you should seek help from relevant service agencies or ** in time to enhance your awareness of self-protection. In addition, the elderly should also actively learn and understand the latest fraud methods, participate in anti-fraud lectures organized by ** institutions or communities, improve their ability to identify and respond to fraud, avoid being deceived, and protect their property and mental health.
In short, although the retired elderly enjoy their old age, they cannot ignore some potential risks. Especially in terms of investment and financial management, we must ensure the financial security of retirement life through correct and compliant financial management methods.
Wan Zi Qianhong said: Every word of the article knocked out my heart, click"On the clock"and let me know that you are also working for life"Do your best"。