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About insurance financing

I don't know how much the landlord knows about financial futures products. Early insurance, like futures in the financial market, plays a hedging role, that is, if a person is safe and healthy all his life, he will not get sick or have any accidents, then his lifetime labor income should be able to support a happy family life. But who can say that he won't get sick and have any accidents in his life? In order to prevent yourself from getting sick or having an accident that affects the family's economic situation, the insured can transfer such risks to the insurance company, provided that the insurance premium is paid. This is the same as the principle that the futures market realizes spot market value preservation through buying and selling contracts.

Secondly, there are many insurance products, such as investment-linked insurance, which can be said to be a fund product with insurance function. Have you seen any fund with life insurance function at the same time? I don't think so. Only this kind of insurance with investment function can have the functions of both fund and insurance.

From the above analysis, is insurance a way of managing money?

In addition to insurance, there are many financial investment products, such as stocks, funds and bonds. Various investment products have different risks and different returns. The so-called "don't put your eggs in one basket" means don't put your money in one place, you need to spread the risk. As for how to spread risks, you need to design the optimal portfolio according to your risk tolerance, which requires a financial planner to help you design, or you can learn financial management knowledge yourself.