pokernightsnearme| How to reasonably set investment return expectations: In the trade-off between risk and return

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How to reasonably set the expectation of return on investment: in today's ever-changing economy in the trade-off between risk and returnPokernightsnearmeIn the era of the 20th century, investors hope to get a considerable return on their investment. However, for most investors, it is very difficult to set the expectation of investment return rationally. So, how to reasonably set the expectation of return on investment? This paper will discuss it from the following aspects. The relationship between risk and return first of all, investors need to understand a basic truth: risk and return are positively related. In other words, the greater the risk, the higher the likely return; conversely, the smaller the risk, the lower the likely return. Therefore, when setting the expectation of investment return, investors need to make a judgment according to their own risk tolerance. Secondly, investors need to consider the time period of investment. Generally speaking, the longer the time period of the investment, the higher the possible return. But this does not mean that investors should blindly pursue long-term investments. In fact, many of the high return opportunities that may arise in the short term may become less attractive because of the extension of the time period. Therefore, when setting the expectation of investment return, investors need to make a reasonable judgment according to their own investment time cycle. The influence of market environment finally, the change of market environment will also affect the expectation of investment return. In different market environments, investors need to adjust their investment return expectations according to their own investment strategies. For example, in a bull market, investors may need to raise their investment return expectations, while in a bear market, investors need to lower their investment return expectations. To sum up, the reasonable setting of investment return expectation needs to consider many factors, such as the relationship between risk and return, the consideration of time period and the influence of market environment. Investors should comprehensively consider these factors and make reasonable investment decisions according to their own actual situation. Here is a table showingPokernightsnearmeThe expected return that investors may get under different risk tolerance: the expected return of risk tolerance is 3%-5% lower, 5%-10% higher and 10%-15% higher. Please note that this table is only a rough reference. Specific investment return expectations also need to be adjusted according to the actual situation of investors. It is hoped that this article can help investors to better set their own investment return expectations in the trade-off between risk and return.

pokernightsnearme| How to reasonably set investment return expectations: In the trade-off between risk and return

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