When considering investment products, there are at least
When considering investment products, there are at least three points to keep in mind.
They are
Yield, investment objective, and liquidity.
Liquidity.
Normally, when investing
there is always a return.
For investors,
yield is probably the most important factor for investors.
Generally, it is said that risk and return are
It is said that risk and return are in balance.
In other words, the higher the return, the higher the risk,
the risk is also high.
However, many people in the world think
“I would prefer a slightly higher yield”.
If you are one of them
If you are one of them,
If you are one of them, you need to ask yourself, “Why does the manager promise a high yield?
If you are one of them, you need to think about why the manager is promising a high yield.
From the manager’s point of view,
To offer a high yield,
their own profit will be reduced.
means that their profit will be reduced.
To make a high return is not the way to go,
Otherwise, they would not be able to raise funds.
Otherwise, they would not be able to raise funds.
So, how do we know if the yield on a product is reasonable?
One way is to “check the market”.
One way is to “check the market price.
One way is to “check the market price.
“What are the yields on the same type of product?”
It will be helpful to compare the two.
The second point to consider when managing your assets is to check the market rate of return on the same type of product.
The second point is,
“What is the purpose of the manager collecting the money?”
This is called the “fund-raising objective.
This is called the “fund-raising objective,
This is called the “fund-raising objective,” and can be found in the prospectus or other documents.
What is the business plan and how much profit is expected?
Does it make sense and make sense to you?
and “Does it make sense and make sense to you?
The third point to consider when managing assets is “liquidity.
The third point is “liquidity.
Liquidity is defined as “When you want to convert it into cash, can you do so smoothly?
“When you want to convert it into cash, will you be able to do so smoothly?
Liquidity is the ability to smoothly convert assets into cash when you want to convert them into cash.
Liquid assets include stocks and bonds,
For example, stocks and bonds.
On the other hand, assets that are not so liquid are
real estate, for example.
If you don’t have a lot of money on hand,
I do not recommend investing in real estate no matter how high the yield is.
Real estate investment is not recommended for those who have little cash on hand, no matter how high the yield may be.
Investment management is a matter of choosing the method that best suits a person’s situation and needs.
and the needs of the individual.