How to rationalize financial management

If you want to be a financial expert, the first thing everyone learns is to manage money rationally. If you can manage money rationally according to the following six rules, I believe you will get a greater return.

(1) Stick to the saving plan: if you save 2000 yuan a year, it's not hard to do. But if you can stick to it for 10 years, the annual rate of return will be 15%, and the total amount will be amazing after 10 years. A good return on investment certainly plays a big role, but it's equally important to keep saving money. Of the total income, 20000 yuan is saved by yourself.

(2) Start investing early: if you just save money, you may only have 20000 yuan in 10 years (based on 2000 yuan you save every year). If you invest your money in the first year, you will get a much greater return.

(3) Stick to diversification: if you hold only a few stocks, you may have huge profits, but you may also suffer huge losses. A wider distribution of investment can protect you from the "devastating" blow.

(4) Plan early. Make a plan as soon as possible, so you will know that you are far from the expected value.

(5) Consistent: any investment plan in the process will not be smooth sailing, the risk is inevitable, if you can not "stick to the position", it is easy to cause investment failure.

(6) Be cautious and calm: be cautious when choosing investment projects and calm when the investment is not smooth. Many perfect strategies are destroyed by a hasty decision, only calm can make accurate judgment.