The sense of security comes from the heart, and no amount of money is useful. There is a shelter from the wind and rain, a warm bed, three meals a day, and someone is laughing. The height of all this comes from the inner corner. But when it comes to saving money, many people may never make a serious plan for their savings at home. I think planning can make us feel more secure. Want to manage money but don't know how to start, how to buy it to minimize the risk and how to maximize the income?
1. Customize family financial planning
Family financial planning can be divided into five steps:
The first is to understand the current situation of family finance.
The second is to set and analyze financial goals.
The third is to understand the risk tolerance.
The fourth is to rationally allocate assets.
Fifth, plan implementation and follow-up evaluation.
The core of financial management is the dynamic balance of assets and liabilities, and family financial management is no exception. For a family, assets are the sum of family income and stock property, that is, future assets; Liabilities are family responsibilities, including maintaining family daily expenses, supporting parents and raising children. With the improvement of people's income level, doing a good job in family asset allocation and family financial planning is an important foundation for obtaining a high-quality life.
Li Jianliang, Dean of the Innovation and Entrepreneurship Research Institute of Beijing Information Science and Technology University, specially reminded that when understanding the current situation of family finance, we must have a clear understanding of what assets are. "From the perspective of financial management, only the assets that bring future cash inflows are real assets, and the so-called assets that can't bring future cash inflows or even need to spend money to maintain them are actually debts. For example, a car is a debt for its own use, and it is an asset to be used as a drip car. " In his view, financial management should try to avoid buying so-called assets, which are actually debts.
2. Pay attention to investments of all ages.
From the perspective of a person's life cycle, the financial management stage can be divided into different stages according to different ages. Life is only a few decades, time is fleeting. Everyone and every family need to arrange consumption and investment reasonably according to the characteristics of life at each stage.
"Every asset allocation report should be personalized, tailored according to the current environment, constraints and personal goals and ideas, and it is difficult to copy." Jia Ruijie, investment consultant of private banking department of Industrial Bank Beijing Branch, said, "In a person's life cycle, different stages have different earning capacity, different family and social responsibilities and different risk preference characteristics, so there are different purposes and contents of asset allocation and financial planning, which are determined by the characteristics of people's life cycle stages and the risk-return characteristics and functions of investment products."
25-34 years old-struggling stage
At this stage, most of the family forms are choosing a spouse, getting married or having preschool children, and they are accumulating or have gradually accumulated some savings. If they have a surplus besides meeting their daily expenses, they can consider the combination of "stable allocation+long-term profit+insurance protection", and the proportion of long-term profit can be slightly higher. Steady allocation mainly includes bank time deposits, guaranteed and non-guaranteed wealth management, and money funds.
Long-term profit mainly refers to stock investment. In the long run, the compound interest rate of stocks is the highest, and compound interest is "the eighth wonder of the world", so it is best to start stock investment at this stage. But the premise of high compound income is to buy a good company. If you buy a poor company, then time is not a friend, because funds will shrink with the shrinking of the industry or the company's business.
For the public, it is difficult to judge the company's prospects, and buying and selling stocks is also easily affected by emotions. Professionals should be allowed to do professional things. Therefore, the best way to participate in stock investment is undoubtedly to buy or invest in public partial stock funds, hybrid funds or index funds.
In addition to the above considerations, young people at this stage should also consider configuring some accident and critical illness insurance for themselves, especially in the case of high mortgage pressure. If they don't get enough compensation for accidents and diseases, it will inevitably have a greater negative impact on their families.
35-44 years old-accumulation stage
At this stage, most people's wealth accumulates faster. Most people have children, and children are at least in primary school. The focus of family expenditure began to change, such as preparing children's education funds, and began to have more investment ideas.
At this time, the amount of funds has made a big leap compared with the previous stage, and you can participate in some trust or private equity products with a higher starting point and obtain higher fixed income. You should also choose to entrust the funds to a more mature manager, but you should have a certain understanding and judgment on trust projects and private placement managers, and it is best to seek professional advice.
In terms of protection, in addition to accident insurance and critical illness insurance, some whole life insurance can be deployed at this stage to provide greater protection for families by using the leverage of life insurance. People of this age are generally the pillars of the family. If an accident or illness occurs, it will have a greater impact on the whole family.
45-60 years old-maintenance stage
With the growth of children and the aging of parents, they should hold cash at this age, manage money in the bank, buy or invest in Public Offering of Fund for a long time, buy trust and private equity products with a high starting point, and the insurance configuration is relatively perfect.
The next focus is to adjust the allocation in combination with their own capital needs and financial planning needs:
Specifically, according to the situation of children's marriage and entrepreneurship, some flexible funds can be reserved for supporting parents; Adjusting the ratio of stocks to fixed income according to your risk preference generally reduces the allocation of stocks, but it is not absolute;
According to your own pension standard, you can decide whether to add annuity insurance for further pension supplement. We can consider allocating whole life insurance to inherit and protect wealth, especially its powerful leverage function.
If the funds are sufficient, at this age, we can also consider the preservation and inheritance of family fortune through family trust tools, realize the separation of family and enterprise, and pass the trust income to children in a targeted, regular and fixed way to prevent the risk of children's profligacy and marriage smoke. We can also set up some terms of family trust and put forward certain requirements for our children in order to obtain the trust income right.
60 years old-retired
At this stage, most people have retired and their children have entered the state of marriage, which is the stage of enjoying life and family happiness.
Financially, at this time, there are enough pensions to completely cover their daily expenses, as well as a basket of asset allocation, including financial management, funds, trusts, insurance and other tools.
Generally speaking, the ability and willingness to take risks in this age group are declining. We can consider further reducing stock investment and choosing more stable investment methods such as wealth management, trust and insurance, but it also varies from person to person. During this period, the willingness to preserve and inherit wealth is on the rise. If you have enough funds, you can focus on using family trust tools.
3. What risks do you need to guard against?
Risks are everywhere, and unpredictable risks often bring a heavy blow to family wealth. What risks need special attention? According to the above-mentioned staff, the risks are roughly divided into the following five categories:
First, traditional risks, including unpredictable and inevitable risks, such as accidents and diseases;
Second, people's risks, such as impulsiveness, greed, vanity and profit-seeking.
The third is longevity risk, such as the existence of pension gap and the quality of life of the elderly;
Fourth, occupational/career risks, that is, unemployment, bankruptcy, liquidation, etc.
Fifth, related policy risks, such as tax system adjustment and changes in industry standards.
In the eyes of many people in the industry, if a family wants to avoid risks as much as possible, it needs to focus on the appreciation, preservation and inheritance of wealth. Among them, wealth appreciation is the most product type and channel in the financial market, such as bank wealth management, fund securities, etc. But in terms of wealth preservation and inheritance, there are only a handful of financial instruments. From the domestic situation, with the change of family financial management concept, the core of family wealth management has shifted from wealth appreciation to wealth preservation.