The Three answers tell you what is investment

The three answers explain what is investment. First, an example; second, a lesson. Third, a story!

1.An example

what is investment?For example, a US bank was ordered to close due to improper operations and financial deficiencies. Immediately after the company is taken over, all depositors are notified to withdraw funds. Because the US banks have a deposit guarantee of 100,000 US dollars, that is, after the bank is closed, if the user’s deposit is less than 100,000 yuan, they will not suffer losses. However, many people have deposits of more than 100,000 yuan. If there is a lot of money, the wind will lose a lot. This is a problem that many people will ignore.

2. A lesson

This reminds us not to put all the eggs in one basket. Once the basket containing the eggs is broken, all the eggs inside may break. When investing in financial management, remember not to put all your eggs in one basket. In other words, don’t put all your money in one investment project, but try to spread the investment as much as possible to spread the risk. Whether you are a personal loan or an investment, this is a very practical technology.

3. A story

At the end of the 19th century, scientists at Cornell University had a whimsical idea of ​​putting a live frog into a boiling boiling pot. This sudden high temperature spurred the frog to stand up and struggled to jump out of the water as a scientist. When the frog is again placed in a container filled with warm water and then slowly heated, the result is different. At the beginning of the frog, the water is very comfortable in the water. The temperature gradually rises to the unbearable high temperature of the frog. It lacks strength, has no desire to survive, and is boiled in hot water. Is this very similar to buying stocks or funds? If you suddenly fall, you may be scared away and save the principal, but it will fall slowly and the final principal will be sold.

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Robin Bell

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