Stock market fell more than 60%, and even the last round of the bull market high of 2245 points can be easily solved, followed by market consensus was support at 2100 points breakdown, after “where the bottom” has been replaced by the cry “The market is not the end of this on,” In this regard, investors should go from here? Last moment, on the “continuing shareholders” or “be secured” the market has set off a big discussion, but the moment is to continue to invest and how the investment has become the focus of many investors. The planning of this newspaper in particular, “the remaining 100 million, but also investment in what?” Provide a reference for the investment of many readers.

Market background

The end of the stock market is difficult to judge where

In the A-share market decline has been catching the occasion of the Vietnamese stock market crash, analysts interviewed all recommended investors to avoid the stock market as a wonderful, after 2500 had to pledge that the central point is the value of the analysts also said that “The market has fallen below the value of the center, where it is difficult to determine at the end.”

Indeed, since October 2007 to September 2008, less than a year of time, from the very passion of the bull market, and then shocking the “stumble endlessly” bear market phase, although the A-share market cattle short length is a normal bear, but This time the bear cycle from the cow to convert the fast, down deep, so that investors whom dumbfounded.

So-called “golden years” of the mirage to almost all investors are unable to get out. June 19 this year, the media-sponsored survey, the proportion of investor losses of up to 92.5%, profits on just 4.34%, barely preserving the 3.15%, while from the survey date, the main stock index has reached 24.34% decline, the proportion of investor losses is bound to increase substantially.

Predicted again and again the “bottom” was no suspense to the breakdown, again widely acclaimed “rebound time” keeping an appointment, has made investors in the eyes do not see any hope. Press the interaction in the major financial sites were found, “short positions before the Festival, tourism is the best policy +”, “learn to refuse to ‘underestimate the value of the’ temptation” and “low inevitable, the end is also far away” and other words everywhere, they present small, scattered can see reflected the mentality, but as early as two weeks ago, “the opportunity coming,” the cry is heard.

Not only stock market investors shudder, the recent commodity market and property market also fell in all: the stock must not touch, the house can not touch, then where to put money in the end is safe? Should we stand and watch, “and the depreciation of assets shrink” it? This reporter interviewed industry stakeholders in order to give investors a trace of reference.

Stock VS deposits

Into the stock market could lose everything

“In the stock and property markets, commodities markets slump on the occasion, we recommend investors to adhere to the principle of cash is king, cash is the best way to stay in the bank.” Industry analyst who asked not to be named the reporter said.

However, although this year’s August CPI rose to 4.9%, but our risk-free one-year time deposits is only 3.93% of profits, is still the era of negative interest rates, that is, investors will cash in the bank, the actual wealth is shrinking. In this regard, the analyst told reporters that “wealth is a right, but the amount of your loss is also predictable and can be locked, unlike the stock market and other investments, there is the possibility of losing.”

Our principal of the planned 1 million yuan for example, if the deposit for one year after the interest tax deduction, the total amount of principal and interest after the expiration of 1.0393 million yuan, and considering inflation factors, as China’s annual were higher than expected inflation rate of 4.8%, after 100 million a year real purchasing power is estimated to have less than 990,000 yuan.

If one million yuan

all in stocks, counting from last October, stock index has reached 66% decline, and then after inflation, then as of yesterday, 100 million principal amount of their real purchasing power is less than 340,000 yuan, which is how much stocks fall 80% or more, if one million yuan to buy the biggest adjustment inadvertently stock, estimated to lose everything.

Is precisely because of this, many analysts suggest that investors, late in the broader market is still uncertain, and still hit new lows during the market, “cash is king” is the best policy, “before the formation of the rising channel, The best investment strategy is to wait and see short positions, and await the entry. ”

Fact, some investors have been held in the form of assets into fixed deposits. On Wednesday the central bank’s Shanghai headquarters in Shanghai in August to run the currency report, the city’s new fixed deposits 50.94 billion yuan, an increase of 20.57 billion yuan, accounting for up to 78.8%, an increase of 37.8 percentage points. The central bank Shanghai headquarters of the view that a substantial increase in time deposits of financial institutions “and the recent decline in businesses and residents about willingness to invest.”

Warrants investment

Bet the result will be miserable to play warrants

Coca-Cola to buy Huiyuan Juice

the news leaked after the big bang Huiyuan warrants soared nearly 200 times, the news that some market speculators to make money in the doorway seems to smell, which industry analysts warrants analysis, “In the overall market the occasion of weakness, investors with a gambling mood to play warrants, the result may be serious fall. “CIC Securities analyst Xu Peng interviewed in that” warrants are currently trading warrants , with the trend of the underlying shares related to warrants in the market downturn, the risk just as great, do not recommend investors to get involved. “

Ping An Securities analyst Liu Xuan

also hold the same view, “warrants may have short-term opportunities, but the overall market uncertainty in the occasion warrants systemic risk is still high.” Meanwhile, Liu Xuan recommended investors “Even if want to get involved warrants only a small part of the funds out of play, will not be able to bet huge amounts of money for warrants.”

And yesterday, two cities 17

warrants, in addition to SAIC and Ge CWB1 Green Island CWB1 received, the remaining 15 are red plate closing, particularly steel, warrants relatively well, Maanshan Iron and Steel CWB1, Wuhan Iron and Steel CWB1, Steel and Vanadium GFC1 were up 3.98%, 2.48% and 1.99%, Baosteel CWB1 rose 0.8%, their corresponding stock price are: Ma Steel shares (600,808), Wuhan Iron and Steel shares (600,005), Panzhihua Steel and Vanadium (000,629) and Baoshan Iron & Steel (600019) rose 5.38%, 3.35%, 1.29% and 1.08%.

China Everbright Securities analyst also said investors still cautious based warrants, although the current valuation investors generally agree that lower level of A shares, but the economic outlook and corporate earnings and the size of the non-listed IPO issues and concerns so investors are not optimistic about the market outlook, and continued sharp decline in turnover of innovation at the end, is constantly hit investor confidence, while at the same time, the valuation of warrant generally high level of current.

Diversification

Called the best investment strategy right now

Investment guru Warren Buffett declared that “diversification is the ignorant self-protection law”, while for ordinary individual investors, and believe in “Do not eggs in one basket” is indeed words of wisdom, but a reasonable investment portfolio is an eternal truth is not bad.

According to Morningstar research, since 1925 the S & P 500 Index average annual return rate of 10.4%, far more than the medium-term government bond rate of return of 5.3%. If a portfolio of 90% of the funds to invest in the S & P 500 index stocks, 10% of the funds to invest in medium-term government bonds, then the volatility of all stock portfolio than in the low 10%. Meanwhile, the annual rate of return can still be 10.1%; if 75% of portfolio funds into the S & P 500 stocks, 25% of the funds into bonds, yield was 9.5% per year, while the fluctuation rate of the portfolio decreased 25%.

Of course, the long term, will focus all of its assets in the stock market may be more profitable, but due to stock market fluctuations, investor money is not never no time limit restrictions, if you happen to encounter depression era, it is possible to more than a dozen years or more crop failure. The U.S. stock market, for example, if the investors in the stock market soared to a peak in 1929, bought stocks, and has been held in the Great Depression, then the S & P 500 Index measures the overall rate of return, return to the state to break even the time spent more than 15 years.

In China, many investors last year when the stock market peak of 6124 points, if you have not flesh out, to recover the principal stock index was up 194.47 percent, which I do not know how many years to the time-consuming, and the current market is still In the hit new lows process.

Several analysts said continued weakness in the stock market, investors should not only stare at the stock market, and should pay more attention to those in the bull market gains slightly less, but a solid performance in a bear market the investment products,

Cinda Securities analyst Liu Jingde

in an interview with our reporter said, “stock market correction was really long, but due to decline in more than 60% reduction of the space has not.” In view of this, investors can focus on index funds, once the broader market rally, investors and index funds is to obtain the best way to gain broader market simultaneously.

Financial configuration tips

5 plus 3 plus 2 combination method

The hands of investors, if the remaining 100 million in cash, the proposed half held in the form used to deposit the remaining 30 million for investment in corporate bonds and other investment products, stable income, 20 million for investment in some of the oversold , the valuation is low and the fundamentals and good stocks.

Not consider inflation a year later, 50 million in deposits to obtain risk-free return 19,650 yuan, bonds such as Vanke A (000002) of unsecured 7% coupon rate, then the gains 2.1 million; complicated because the stock market, let us assume that annual earnings range is (-10% to 10%), the stock part of the investment income was -2 10,000 to 20,000 yuan, and 100 million in annual rate of return 2.065 to 6.065 percent.

Editor: Little Canada
related to hot words: stock market investing cash household education

Tags: Cash, Education, household, investment, the stock market

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