Smart Investment Brochure

Click to edit this cool Facebook post template online.

The saying "If you don't manage your money, wealth will not take care of you" has aroused the enthusiasm of Chinese people for investment and financial management. Since then, there has been a steady stream of chicken soup and well-meaning words to teach people how to become winners in life through financial management.

The classic example is the shock effect of compounding an annuity. Consider four scenarios:

• Scenario 1: f you save $10,000 a year and earn 5% a year for 20 years? The answer is 330,000.

• Scenario 2: If you save $10,000 a year and earn 10% a year for 20 years? The answer is 570,000.

• Scenario 3: If you save $100,000 a year and earn 10% a year for 20 years? The answer is 5.73 million.

• Scenario 4: If you save $100,000 a year and earn of 20% for 20 years? The answer is 18.67 million.

Over a longer period of time, we found that small differences in returns were magnified over time, encouraging people to continue to take risks and seek out higher-yielding projects.