Chier Hu

March 31, 2021

Introduction: Turn your knowledge into wealth.

<p>Hello, my name is Chier Hu. I am an investment researcher and fund manager.</p> <p>I was the most viewed writer on investment topic on Quora,</p> <p>and top writer on business topic on Medium.</p> <p>Investment is, of course, a topic with a wide range of topics.</p> <p>In the lecture, I would like to talk to you about "individual investment", which is "suitable for ordinary investors".</p> <p>What is an ordinary investor?</p> <p>There are two most critical criteria:</p> <p>First, investing is not your full-time job. You have other careers to do.</p> <p>Second, you don't manage the money of outsiders except yourself (or at best take care of close family and friends).</p> <p>As long as you meet any of the above two points, this course will be suitable for you.</p> <p>Since entering modern society, investment has been closely related to every adult in the world:</p> <p>The physicist Newton, economist Keynes and Nobel laureate Daniel Kahneman…they are all active stock investors who need to manage their investments to support their academic research and daily life.</p> <p>Of course, as we all know, although Newton and Keynes are academic leaders, their individual investment results are not good.</p> <p>This shows that "no matter who it is, you need to learn and practice individual investment as a special ability."</p> <p>Moreover, whether you take the initiative to buy stocks and funds, even if you just go to the bank to deposit, or loan to buy a house, in fact, you actively and passively participate in the investment process!</p> <p>In our life, we always have to face the problems of education, health care, providing for the aged and improving the quality of life. Income from investment is one of the most important means to solve these problems.</p> <p>Modern people can't help but care about making money.</p> <p>So you can see that there are countless courses, books and "experienced people" on the market telling you what to do and how to make money.</p> <p>But the key question is:</p> <p>Why can't we do it well?</p> <p>Why do so many people still suffer losses and failures in their investments?</p> <p>The biggest reason for this is: "the vast majority of people put their learning and investment efforts in the wrong place."</p> <p>What does that mean?</p> <p>It means that you have been learning to invest for a long time, but in fact, you have put the cart before the horse.</p> <p>Give me an example.</p> <p>When it comes to the stock market, we all feel that the risk is very high and fluctuates wildly, and we will lose money if we are not careful.</p> <p>But is that really the case?</p> <p>If you stand high and take a long view, you will find the following conclusion:</p> <p>In China's A-share market, from the end of 1994 to the beginning of 2019, the Wild whole A index, which represents the whole market,</p> <p>It grew from about 380 points to more than 3500 points, with an annualized return of more than 9%.</p> <p>If you start investing in 2005, the bear market, your annualized return for more than a decade will exceed 20% in 2019.</p> <p>Let's take a look at the American stock market.</p> <p>In the two hundred years from 1802 to 2012, stocks' value changed from $1 to more than $13 million.</p> <p>And not just stocks, including bonds, gold, real estate, and other assets, have drawn a gorgeous upward curve during this period.</p>