What are the risks of paper gold?

Paper gold is a kind of personal credential gold. Investors buy and sell "virtual" gold on their books according to bank quotations. Individuals earn fluctuations in gold prices by grasping the trend of international gold prices. Investors' trading records are only reflected in the individual's pre-opened "gold passbook account", without real gold extraction and delivery. Let's take a look at the risks of paper gold.

What are the characteristics of paper gold?

1. Paper gold is bookkeeping gold, which not only saves the storage cost for investors, but also facilitates the realization of investors. After the purchase of real gold, you need to worry about preservation and storage, and there is a cost to identify whether it is real gold or not when it needs to be realized. On the other hand, the paper gold uses the bookkeeping method, and the international gold price and the RMB converted from it are used to mark the price, which saves the inconvenience of investing in real gold.

2. Paper gold is linked to the international gold price and adopts a 24-hour uninterrupted trading mode. The domestic night coincides with the day in Europe and the United States, when the price of gold fluctuates most, providing plenty of time for office workers to manage their finances. And China's bank paper gold quotation has the most advantages in the industry, and the small bilateral spread provides opportunities for investors to get more returns.

3. Paper gold provides two trading modes of US dollar gold and RMB gold, which provides corresponding opportunities for the financial management of both foreign currencies and RMB. At the same time, paper gold adopts the delivery method of Tip0, which was purchased at that time and arrived in the account at that time, which is convenient for intra-day trading and has more short-term operation opportunities than the domestic stock market.

What are the risks of paper gold?

1, misreading trend: paper gold is a relatively significant investment in medium-and long-term positions, and the entry time of the order is generally 1-3 months. If the overall direction is misjudged, the order will fall into the trap.

2, capital fracture: paper gold has the characteristics of long-term trading, investors should make a rough plan for funds to enter the market, and when they find that the trading direction is wrong, they should decisively stop losses and leave the market, and do not wait for the opportunity of reversal. At that time, their own trading account may have run out of ammunition.

3. Fight the small with the big: the threshold of paper gold trading is low, and there may be many people who treat paper gold investment with a short-term trading mentality. However, the fluctuation range of daily domestic paper gold trend is relatively small. Investors enter the market with a principal of 300 yuan. Profit is only 2-5 yuan, and repeated ups and downs within the day, the list is very easy to be trapped, but introduce themselves into the vicious circle of unnecessary stop loss for many times.

Notes on paper gold

1. If there is no capital preservation, the risk is high, and the return follows the international gold price. Paper gold business is not difficult to handle, through the Bank of China, ICBC, China Construction Bank and other bank windows, the nature of non-capital preservation floating financial products similar to banks, but income volatility and risk are significantly greater than bank financial products. Investors make a profit by sucking low and selling high, which closely follows the international gold price. Recently, the international gold price has fluctuated greatly, and the price trend of paper gold is also fluctuating. Investors should pay attention to guard against risks and avoid losses.

2. Banks charge unilateral commission and do not buy and sell frequently. There is no handling charge for the purchase of paper gold, but it should be noted that banks charge unilateral commission, that is, the spread, which is the difference between the buying price and the selling price. For example, the price of a customer who buys 100g of paper gold on that day is 236yuan / g, but the system shows that the buying price rises to more than 236.5 yuan / g to make a profit, indicating that the bank charges a difference of 0.5yuan / g.

3. Paper gold is not included in deposit insurance. On November 30th, the State Council issued the regulations on Deposit Insurance (draft for soliciting opinions), and there was much discussion on the implementation of the maximum repayment limit of RMB 500000. It is worth noting that bank wealth management products and paper gold are not covered by insurance. If the bank fails, paper gold will not be paid rigidly, and investors are likely to suffer losses, which requires careful selection of the platform.

4. Choose the appropriate trading time. The trading time of paper gold is from 8:00 on Monday morning to 4:00 on Saturday morning. During this period, there is 24-hour non-stop trading. Each time period has different trading characteristics. Generally speaking, trading is more active in China from afternoon to evening.