What is the difference between financial management and speculation

Financial management: refers to the development of specific plans for personal financial management according to the changes in the income and expenditure status of individuals in different periods of life development, so as to achieve the goals and ideals of each stage of life. In the whole financial planning, it is necessary to consider not only the accumulation of wealth, but also the security of wealth.

Speculation: Wait until the right time to sell or sell when you want to sell or sell until the right time is called speculation.

The difference between the two is that financial management can include many methods, such as: buying and selling, investing, buying, etc., which are all methods of financial management, and can also be said to be speculation, so speculation can be a method of financial management. But for example, such as depositing money in the bank or getting interest, buying ** bonds can be counted as financial management, but not as speculation.

Therefore, speculation is a method of financial management, but financial management is not the same as speculation.

1.The length of the time limit of the two behaviors is different. Investment is generally long-term holding**, **, etc., the cycle is relatively long, and the speculation time is relatively short, and the buying and selling is relatively rapid.

2.The interests of the two are different, and the risks they take are also different. Investment is in the long-term interest, even if there is a loss in the short term, it will not have much impact on the whole, and the risk is relatively low.

Speculation, on the other hand, focuses on short-term gains, and the impact of the rise and fall of the sale is relatively large, and the risk is relatively large.

3.Investing is buying and selling what you know, while speculation is buying and selling what you don't understand.

What is the difference between investment and speculation?

What is speculation? In ancient texts"cast"It's what it means to choose"machine"It's opportunity, and speculation is choosing opportunity.

What is financial management? Manage your belongings to preserve or increase their value. To maintain its value, the risk is small and it is easier to achieve; To add value, you have to choose opportunities and invest them.

People think that handing over money to financial experts is financial management, but in fact, I am fair to say that it is all speculation. It's just that the underlying motivation is different.

Speculation = Smart people step in when they encounter or perceive an opportunity to generate returns.

Financial management = varies from person to person, some people have money to deposit in the bank and eat interest. Budget your own daily expenses. Living each day is also about managing your money. Using a part of it to speculate is also considered financial management. Speculation is due to the downline of financial management.

Personal understanding of the point of view.

Financial management is to prevent big money from becoming smaller, and speculation is to make small money bigger. The latter has little chance.

There is still a difference between investing and managing money.

In fact, investment is only one aspect of financial management, but it does not mean that it is financial management. Zhao Yuan believes that investment is the ultimate goal of maximizing benefits, while financial management refers to the optimal allocation of assets, that is, it is necessary to comprehensively consider the assets and liabilities of different investors, life financial planning, risk appetite and other factors, balance the yield and risk, and optimize the investment portfolio. Of course, some financial solutions also include a portfolio portfolio through these investment channels to increase income and ultimately achieve long-term financial goals.

In fact, financial management is not concerned with how much money should be invested, but whether these investments should be made, or where these investments should be in personal financial planning, because investment must be subordinated to the overall situation of financial management. Zhao Yuan said that from the perspective of the development process of the wealth management market, financial management and investment have different characteristics in many aspects.

The first is that the goals are different. Generally speaking, investment is to put money in a certain channel or certain products to increase value, maintain value, and add value, the purpose of which is to obtain profits, and it focuses on the liquidity and yield of funds. Financial management is not to make money, but to help people arrange their income and expenditure more reasonably, so as to achieve financial security and worry-free life, rather than simply pursuing the preservation of assets.

The second is that the decision-making process is different. In the design and implementation of financial management plans, it is necessary to consider not only the factors of the market environment, but more importantly, all aspects of the individual and family, including life goals, financial needs, assets and liabilities, income and expenditure, etc., and even the individual's personality characteristics, risk appetite, investment characteristics, health status, etc. In the investment decision, it is based on the judgment and grasp of the market trend, and the main consideration is the rate of return, and rarely considers the other needs of the individual.

Again, the results are different. Generally speaking, the result of investment is to obtain income and achieve the preservation and appreciation of the value of the asset, but it is also possible to bear a certain amount of loss due to risk. Financial management is to make our future life richer, better quality, and healthier and happier for our family members under the current asset and income situation.

Fourth, the scope of coverage is different. Specifically, the investment channels of individuals and families mainly include various assets bought and sold in the financial market, such as deposits, bonds, foreign exchange, etc., as well as assets bought and sold in the physical market, such as real estate, gold, silver and jewelry, stamps, antiques, or industrial investment, such as individual shops, small businesses, etc. Financial management is much more diverse, covering all aspects of personal and family income and expenditure.

It's certainly not the same thing, financial management is just an option for investment.

2. Investment pursues short-term returns, while financial management pursues long-term returns.

3. Investment focuses on returns (input-output ratio), while financial management values stability (long-term wealth).

4. The advantage of investment is to earn the current money quickly, and the advantage of financial management is to have your own money for a long time. The disadvantage of investment is that there are risks everywhere, and the disadvantage of financial management is that you will not make a lot of money, because investment is risky.

5. Investment is the act of investing existing property into means of production, fixed assets, technology, special products, etc., which the investor considers to have investment value and is expected to obtain value-added; Wealth management is the best way to use the existing assets to what the financial planner thinks.

Domestic institutions that can provide customers with financial services mainly include banks, ** companies, and investment companies.

1. The investment time is different. Speculation has a short period of time, and speculators are keen to buy and sell quickly on a regular basis; The investment period is long, and investors are willing to make physical investments or long-term family holdings**.

Second, the purpose of investing in Zhaofeng is different. Speculation focuses on short-term fluctuations, mainly to seek short-term interests; Investing focuses on long-term benefits and does not care about short-term gains.

Third, the investment strategy is different. Speculation ignores the intrinsic value of the first, mainly through technical analysis as the main method of selling high and buying low, and obtaining the difference income, while value investment pays more attention to the intrinsic value of the first, and generally compares the performance, industry development, and potential of listed companies.

Extended information] Investment refers to the process in which a country, an enterprise or an individual signs an agreement with the other party for a specific purpose to promote social development, achieve mutual benefit, and transfer funds. It is also an economic behavior in which a specific economic entity invests a sufficient amount of funds or monetary equivalents in kind into a certain field in a certain period of time in order to obtain income or capital appreciation in the foreseeable period in the future. It can be divided into physical investment, capital investment and base investment.

The former is to invest money in the enterprise and obtain certain profits through production and operation activities, and the latter is to purchase the ** and corporate bonds issued by the enterprise with currency, and indirectly participate in the profit distribution of the enterprise.

Investment is a form of incubation of innovation and entrepreneurship projects, and it is an economic activity to promote the development of the industrialization complex of the project.

Investment is a profit-making business activity in which the owner of monetary income or any other wealth whose value can be measured in monetary terms sacrifices current consumption, purchases, or acquisitions of capital goods with a view to increasing value in the future.

Technically, the word means "the act of putting something somewhere else" (perhaps originally associated with a person's clothing or "dress"). From the perspective of finance, compared with speculation, the investment period is longer, and it tends to be more in order to obtain some kind of more sustainable and stable cash flow income in a certain period of time in the future, which is the accumulation of future returns.

1. Investment refers to the economic behavior of a legal person or natural person as an economic actor who invests a certain amount of funds and resources to obtain unannounced income through investment decisions. According to different criteria, investment can be divided into direct investment and indirect investment, and can also be divided into industrial investment and financial investment. In general, investment is the process of capital formation and dynamics.

2. Managing the mu and bicai refers to the raising and use of funds, which is a kind of financial management skills, and at the same time, it is the method and means to maximize the investment returns, and it is a way to make money.

According to the different objects of financial management, it can be divided into national financial management, corporate financial management, and family (personal) financial management. National financial management is macro financial management, which refers to financial operation methods and budget management skills; Corporate financial management is meso-financial management, which refers to the investment and financing technology and financial management skills of enterprises; Family (personal) financial management is micro financial management, which refers to the wealth management skills and investment financing techniques of families (individuals).