Is it better to buy wealth management or fund? The difference between financial management and funds

Both funds and wealth management are popular investment methods in modern financial markets, and both can use market bonds as investment targets to obtain expected returns. So is it better to buy wealth management or a fund? What's the difference between financial management and funds? Let's take a look together.

1. What's the difference between financial management and funds?

1) liquidity difference

Wealth management products are divided into net worth and non-net worth. Generally speaking, they all have an investment period and cannot be redeemed in advance when they are redeemed at maturity or in the next cycle. The fund is highly flexible and can be redeemed at any time. Some types of funds, such as money funds, have the flexibility advantage of T+0.

2) the difference between risk and expected return

The risk of financial management comes from the product itself, investors bear the risk alone and get the expected return, and the expected return of the risk is relatively stable; Funds have the characteristics of sharing fund risks and expected returns, which will spread some risks, but more will come from fund risks.

3) Selectivity difference

Financial risk is relatively stable. Funds can choose funds with different risk levels and different expected returns through different fund allocation and investment markets.

2. Which is better, buying wealth management or buying funds?

For investors, financial management and fund investment do not require high professionalism and investment experience of investors. They all give money to professional managers to allocate investment. Investors can get the expected return of the fund even if they don't have much investment knowledge. However, funds need procedures to increase costs, but financial management does not.

From the perspective of risk and expected return, financial risk and expected return are relatively stable and suitable for prudent investment; There are many types of investment in the fund, and the fund is suitable for different investors. Different types of investment have different risks and expected returns, so there is a great choice.

Having said so much about buying wealth management or buying funds, the difference between wealth management and funds. I hope I can help you. Warm reminder, financial management is risky and investment needs to be cautious.