I. My investment plan
Start in January 2022. As for why I chose to do this, OF course, I would like to record my investment plan in each period and some thoughts at that time. I know that I cannot predict the future market, and I also know that I must have a lot of shortcomings, so I will make some wrong judgments and thinking. But I think all these are experiential, and I can learn and reflect to become better bit by bit, so that my investment plan becomes more perfect and more suitable for me, which is the most important thing for me.
Second, about financial freedom
Financial freedom for everyone is not the same standard, there is a lifetime will not spend money; Or having a certain amount of money that will generate a steady cash flow in the future that will cover all of your expenses is a form of financial freedom. And I am belong to the second, I hope my investment plan can bring me a stable annual returns, I’m very satisfied with between 8% ~ 15%, my plan is after I have x ten thousand yuan, the money can bring me the stability of 10% annualized returns, the money can completely meet the insurance for my future family, consumption, cost of living, So I’m basically on my way to financial freedom. All I need now is to accumulate principal, plus a long-term investment plan that works best for me and generates a steady annual return.
Iii. About the investment object
First of all, stocks with higher risks and low returns are not my main investment targets. “Index fund” is always my favorite, he has a variety of advantages, I have also described in detail in the previous article, low risk, worry and effort, low transaction cost and so on, I will not repeat here.
How to allocate funds
Most people, like me, have regular income as their source of investment. After deducting fixed expenses and daily expenses, I will invest the remaining money in the monthly income, which will be divided into two equal parts for fund investment. It is very important for people to form the habit of saving when they enter the society. Probably for most people, they follow such a formula: income – consumption = saving, but I suggest that income – saving = disposable spending, which is better. When the market is low in valuation, we are normal to invest, when the market items are not too cheap or more expensive, our investment plan will stop. The rest of the money is kept until the market has an opportunity to invest. When the bull market comes and we are fully liquidated, it is a long wait. The money will be allocated elsewhere until the next investment opportunity comes along.
Five, about money
In fact, money to me is really just a symbol, a string of numbers. In a consumer society, it has the power to replace everything, but at some point, it really isn’t worth anything. In the process of investment and financial management, I also thought about what money means to me. Before, I read an article by Deleuze, talking about “power”. Deleuze said that the most important function of power is to block people and their own potential. It blocks us from seeing that we can do some things and not do other things, and when we don’t care about money, can we do something that we want to do, something that’s really meaningful? It may also let me in a different perspective to understand Sartre and his existential philosophy, Sartre’s existentialism is one of the most popular version, “the person has the power to say no”, we have refused to power, in other words we have choose at any time, needless to say we have no choice, and choose money gives us courage! The effective functioning of some power in our society makes us forget that we actually have a choice, that we can still say no if we have no other choice. Power block between the man and his potential, which we cannot be aware of their potential, not aware of each and every one of us every ordinary people, can dream and pursuit to become a pure and true, we live in this era is an era of waiting for the bottom line, but the society is a society without the bottom line, so I will give myself drawing lines, And stick to that line.