What is the essence of finance? Finally someone made it clear!

Source: Investment Bank Laosky
As we all know, the financial industry is a "multi-gold" industry, but anyone who mixes in the financial circle will feel that he has a "halo".
Why is this? Because most people don’t understand finance. Because of scarcity, information inequality will exist, and making money often comes from getting information earlier than others. Therefore, we can not invest or manage money, but we must know some financial knowledge.
bank interest
A rich man borrowed a loan of 5,000 yuan from a Wall Street bank for two weeks. The bank loan must be mortgaged. He used a Rolls Royce parked at the door as collateral. The bank clerk parked his Rolls-Royce in the underground garage, and then lent the rich man 5000 yuan. Two weeks later, the rich man came to pay back the money, and the interest was 15 yuan. The bank staff found that the rich man had tens of millions of dollars in his account and asked why he still borrowed money.
Regal said: 15 yuan’s two-week parking lot will never be found on Wall Street.
Non-profit investment
Please give an example to explain what is unprofitable investment. The economics professor asked questions.
"Take your sister out to play." A male student replied.
The principle of precedence and separate totals
Pick up 75 yuan once, or pick up 50 first and then 25, which one?
Lose 75 yuan once, or lose 50 first and then 25, which one?
Experiments show that most people choose to pick up 75 yuan separately and throw it in 75 yuan together.
This is the principle of pleasure and pain in economics: n pieces of good news should be released separately; N bad news should be released together; A big bad news and a small good news, respectively; A big good news and a small bad news are released together.
Resource pairing
If men and women are divided into four excellent levels of ABCD, the current situation is that A men want to find B women, B men want to find C women, and C men want to find D women, so D men are left.
On the other hand, women are different, that is, ABCD women want to find a man. The final result is a woman and a man.
Comparative utility
There is a formula in economics: happiness = utility-expectation.
For example, your boyfriend privately gave 1000 yuan as a reward for his excellent work. At this time, if your expectation is that he can buy himself a bag with 10000 yuan, then if 1000 is divided by 10000, the happiness is only 0.1. But if your expectation is to let your boyfriend treat himself to a 200-yuan western-style meal, then if you divide 1000 by 200, your happiness will be 5.
Finance is cruel.
If we want to find an antonym for "literary youth", the most appropriate one is "financial youth".
Financial youth
How to understand this sentence?
From tomorrow on, I want to have a house facing the sea and blooming in spring. From tomorrow on, be a happy person, feed horses to chop firewood and travel around the world. From tomorrow on, I only care about my relatives, lovers and friends around me.
The premise of all this is: have a house, have a house, have a house …
Regarding the house, if we can look at it with "financial thinking", then you wouldn’t be so infatuated with Gao Xiaosong’s words "Don’t buy a house, buy a dream".
After the housing reform in China, the house has actually become a financial product. Many people think that housing prices in China are sky-high, because houses are just houses in their eyes. And if you regard the house as a financial product, you will understand why the house price in China is soaring all the way.
Xiao Bian believes that every item, service and enterprise in the future can become a financial product, and then carry out financial operation on it. For example, the financialization of movies, when you are watching movies, others are betting on the box office.
What is financial operation? It is to promote the capital to flow into the most efficient countries and regions, the most efficient industries, the most efficient enterprises, the most efficient projects and the most efficient individuals in turn, so as to realize the appreciation and expansion of capital.
Toolbox consciousness
So from now on, you must have toolbox awareness.
That is: your house, car, stock, salary, etc. are all your financial instruments. Your purpose is not to completely own them, but to use them. You should add value through renewal, turnover and redemption, and then push up your height, so that you can allocate more resources.
The essence of finance is how money makes money. Money is not the root of all evil, it can only quantify everything. Assets can be quantified, thinking can be quantified, life can be quantified, feelings can be quantified, and even time can be quantified.
Everything is for my use, and nothing is for me. All tangible assets are things outside the body, and the ideas and patterns you form in this process are your own.
In order to allocate larger, more and farther resources, you also need to understand the principle of leverage.
lever principle
Give me a fulcrum, and I can pry up the whole earth! This is a famous saying handed down from ancient Greek scientist Archimedes, which means that no matter how heavy an object is, as long as my lever is long enough, I can pry it. The principle of leverage is a very clever invention, and we completely incite things beyond our "power".
This is also a very inspiring principle, which inspires us to boldly change the world. But it is all kinds of financial players who really apply this sentence to the extreme and completely change the world.
Without leverage, there is no finance. The essence of all financial innovations is to amplify the leverage smoothly. The first-level leverage is 1: 3, and the second-level leverage is 1: 3. When the whole system is superimposed, it becomes 1: 9, and there are three, four or even invisible levers.
It is not difficult to amplify the lever, but it is difficult to match the lever series with your control, otherwise it will get out of control. Repeated illegal fund-raising, small loans, guarantees and other events that closed down due to the break of the capital chain, as well as the frequent incidents of losing contact and running away from Internet finance are all caused by leverage, so the essence of all financial crises is that leverage is out of control!
For the country, Shui Muran believes that true wisdom is a system that takes credit as the fulcrum and designs a lever with controllable risks to incite and allocate distant resources. That is the high wisdom of the country and the essence of financial thinking.
Four roles
The essence of finance is Qian Shengqian, and this logic turns the world into four roles:
The first role: I have money and I need to turn it into more money. (capitalist)
The second role: I don’t have money, I can help rich people turn money into more money. (Banks and other institutions)
The third role: I have no money, but my ideas can be turned into money (entrepreneurs)
The fourth role: whoever gives me money, I will help him earn money (migrant workers)
Therefore, finance is an angel, because it can help people who need money to get money; Finance is also the devil, because it makes rich people richer.
So finance, to put it bluntly, is: managing money for the rich and financing for those who are short of money. Then take value-added as the goal, leverage as the means, credit as the cornerstone and boundary as the risk. The essence of finance is the interaction of value-added, credit, leverage, risk and so on, thus forming a large operating system.
Credit is particularly important here, because credit is the basis of leverage. If you have credit, I will leverage. There is no credit and no finance. Credit is the foundation and lifeline of finance!
So in the future, your credit is more important than your identity!
Serve the entity
Finance can be imaginative, but it can’t be illusory.
The so-called image in heaven is shaped in the ground. The essence of finance is just the image projected by the physical industry in the sky, and finance must step on the rhythm of the entity.
For example, for enterprises, your profitability must be greater than your debt speed; For the financing platform, your return on investment must be greater than the interest promised to customers. For the bank, the corporate risk of your lending must be within your own tolerance.
Once finance breaks away from the physical rhythm, it will enter the bubble stage. And now, we are facing this problem!
Deng said: Finance is the core of modern economy. If the finance is done well, everything will be alive.
Boring
If there is wisdom in finance, Shui Muran summed up five sentences:
The root of human inequality is private ownership, and the root of the excessive gap between the rich and the poor is finance.
When you have to rely on hard work to succeed, you have lost at the starting line.
Ugliness is nothing compared to the weakness of poverty.
Some things can be changed without hard work. No matter how beautiful the RMB of 50 yuan is, it is not as attractive as the RMB of 100 yuan.
Therefore, finance can be really boring sometimes.
Homosexual game
Regardless of stock trading, investment or buying a house, finance is a game with human nature. This game is divided into four realms:
Technology-art-magic-Taoism.
Horizontal and vertical cooperation, reeling and peeling cocoons, and setting up point control bureaus; Insight into the warmth and coldness of human nature and analysis of public behavior, along the way, if you can do it with ease, you will reach the realm of "Taoism." At this time, everything is born with each other, born with illness and death, and everything comes and goes freely in your heart.
The strongest opponent is yourself. Once you beat yourself, it’s like jumping out of the three realms and not in the five elements. Don’t be humiliated, watch the flowers bloom before the court; I have no intention of staying or staying, and I look up at the clouds in the sky.
At this time, you: people abandon me and take it, and people take me and give it. The great self has no self, and what all beings want is exactly what you give up.
So you became a kind Buddha.
Reporting/feedback
Everyone is searching.
The essence of finance is too incisive. What are the three essences of finance? What is finance?



issue

Drunk winter FH

With the rapid development of society, financial products, like money, may be inseparable from people’s lives all the time! ! ! ! ! ! ! !

2021-03-30

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Drunk winter FH

Smart people: The key point of finance is how "gold" is "integrated" into people’s ideology, all kinds of materials, the world, society and all corners of the world. What is gold? How to integrate what?

2021-03-30

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A note that jumps upward.

In fact, finance is gambling. Some people bet big chips, while others bet small chips. Only when the water recedes will they know who is swimming naked.

2021-03-30

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Yilingzi 8P

Interesting article! It’s clear!
If you want to be rich, abandon the five senses of worldly desires!
To put it bluntly, you only recognize money! Don’t get mixed up in morality and feelings!

2021-03-30

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Jixiaoqian 91

Understand a little absolute:


Money is a tool (equivalent exchange);
Finance is business trust (grade credit)!

2022-06-05

Shanxi(Province)

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7 cats say small for free

Finance is the embodiment of human’s "belief"

2021-03-30

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Jixiaoqian 91

Good,

Department of Finance with Credit Rating

2022-06-05

Shanxi(Province)

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Zhi Cao Jing l

Finance is a means of concentrating wealth, which can promote the development of social productive forces if used correctly, otherwise it may become a tool of wealth plunder.

2021-03-27

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A ray of sunshine is warm.

Truth is always in the hands of a few people, and so is money. In a sense, the minority obeying the majority is a false proposition! Recognizing the reality and striving to become an elite is your only way out.

2021-03-27

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Peach, red, willow and green north and south banks

Finance, that is, financing, enterprises that need funds have obtained mutually beneficial funds and cooperation in using funds on the investment platform through listing.

2021-03-27

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Elegant leisure

Finance generates wealth. This is a cosmic joke!
The function of finance is the lubricant of production.
Social wealth is created by production, not financial speculation.
The behavior of exaggerating the financial function is the main means of capitalist fraud and plunder.

2021-03-26

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Jixiaoqian 91

Concise and to the point, as you wish, this article is precious, and it will be used in gold.

2022-06-05

Shanxi(Province)

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Static smash 30

But the real creation needs the satisfaction of conditions, and money is the subject matter of the quantification and exchange of various conditions, while finance is to promote the exchange of conditions, so as to realize more possibilities and diversity of creation. I think this article is really in place, although it is scattered but incisive, and I can write a paper for expansion!

2021-08-22

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All 4 replies

Situ Haoliang 1Z

No, literally, it means that gold stands for wealth, which means to get together, to get together and form a big one means to get together successfully. From a commercial point of view, it is understood that a group of people save their money, start a company, and then use it to do business and make money. The money is earned back, and then the money earned back is used to do business. It can be understood that you pay and I pay, and we lend the money together, charge interest, and then circulate. This is called borrowing money.

2021-03-26

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Ten thousand profits increase


Retired military personnel

The essence of finance is how money makes money. Money is not the root of all evil, it can only quantify everything. Assets can be quantified, thinking can be quantified, life can be quantified, feelings can be quantified, and even time can be quantified.

Everything is for my use, and nothing is for me. All tangible assets are things outside the body, and the ideas and patterns you form in this process are your own.
Homosexual game
Regardless of stock trading, investment or buying a house, finance is a game with human nature. This game is divided into four realms:
Technology-art-magic-Taoism.
Horizontal and vertical cooperation, reeling and peeling cocoons, and setting up point control bureaus; Insight into the warmth and coldness of human nature and analysis of public behavior, along the way, if you can do it with ease, you will reach the realm of "Taoism." At this time, everything is born with each other, born with illness and death, and everything comes and goes freely in your heart.
The strongest opponent is yourself.

2021-03-26

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answer

Look small.

Finance is a part of careerists, who pay for their ambitions by pulling all the resources they can.

2021-03-26

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Shade h8ck8

Finance is to transfer the potential risks of banks to the society, plus 10% risk is enough, beyond which is to protect the bourgeoisie and inhibit the benign development of society.

2021-03-26

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Yuhui investment wuyingshou

A rare good article

2021-03-26

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The sense of learning is based on the sense.

The essence of finance is to add leverage skills.

2021-03-26

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Xingfu space station


Cultural enthusiasts

For an individual or enterprise, as long as the money he earns is greater than his debt, he can survive and develop.

2021-03-26

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Dexiaoxin cr

The essence of finance is to promote exchange and at the same time increase its own value, and the two cannot be separated. When the market enjoys its function of promoting exchange, it must pay the price of its appreciation. Cycle after cycle, financial capital keeps expanding in vain. In order to eliminate or weaken this cost, we can only offset it by over-issuing money and making price inflation. This process is irreversible, and eventually we will reshuffle the cards through war or other means. This is the objective law, regardless of human will!

2021-03-26

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Jasper orchid doing push-ups in Hubu Lane

Finance should serve the society and take Do not forget your initiative mind’s mission as its purpose.

2021-03-26

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Yun o Fei o yang

Ten jars with nine covers, ten jars without covers for real masters, karate.

2021-03-26

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The wind direction is always right.

Finance is the product of social development. It has a time-limited nature, which did not exist in the early stage of human development, and it will disappear when it reaches a certain height.

2021-03-26

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dickens425

Will science and technology disappear? Finance is actually a technology.

2021-03-28

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See more comments

China Youth Daily is concerned about how to treat the "usefulness" and "uselessness" of culture.

For drinking tea, it is obvious that ordinary white porcelain bowls can meet the demand, but why do we prefer porcelain tea set with fine workmanship? When writing, the arm rest is used to prevent the arm from being stained with ink. Obviously, as long as it has the function of putting the arm, why do we pay attention to its material and the carving on it? When we are moved by the beautiful artistic conception of an ancient poem, when we are fascinated by the exquisiteness and elegance of a handicraft, what do we get from it? What can those humanistic details and artistic values bring to our lives? Or, is culture "useful" or "useless" to our life?

The "uselessness" of culture is also "great use"

In the dialogue session hosted by Bai Yansong at the 15th Cultural China Forum, Pan Lusheng, chairman of China Folk Writers Association, pointed out that "useful" means "practical" and "useless" means aesthetic "useless". Material and spiritual use and life use are both useful and practical, while useless is also useful and even useful.

Pan Lusheng introduced that in Lin ‘an City in the Southern Song Dynasty, the palace culture, the literati culture and the street culture were integrated, which formed the idea of "craft for practical use", and also created a life style of unity of practicality and aesthetics in the Southern Song Dynasty. During this period, the weaving technology was superb, and the fabrics made were dense and light as cicada’s wings. Not only were there various types of yarn, Luo, Qi and Ling, but the silk reeling and embroidery techniques were also superb. The gardens in the Southern Song Dynasty are like three-dimensional landscape paintings with pavilions and winding paths, which contain the spiritual complex and aesthetic artistic conception of literati. From the clay figurines of children in the Song Dynasty in Zhenjiang Museum, to the Children’s Plays in the City in Taipei Palace Museum, from the white porcelain children’s pillows in Dingyao in the Palace Museum, to Song Jin’s Paintings of the Hundred Immortals in Cleveland Art Museum in the United States, all of them reflect the aesthetics and interest of life in which humanities and art are combined with street life.

In contrast, in today’s fast-paced diet and fragmented culture, modern people no longer seem to have an attitude of attaching importance to life aesthetics, and traditional crafts no longer pursue use value. In this context, should we learn from the ancients and return to the "elegant life" way of the Southern Song Dynasty?

"The handicraft tradition of the Southern Song Dynasty is historical and contemporary, which runs through the traditional Chinese aesthetic spirit, lifestyle and cultural taste." Pan Lusheng said. Therefore, he proposed to develop a new economy of Song rhyme culture, take people’s life needs as the guide, enhance cultural life experience, and study how elegant lifestyle can be integrated into today’s life, so that people can gain a sense of cultural identity.

Pan Lusheng believes that, on the one hand, by reviving traditional crafts, we can explore how to better inherit and utilize traditional craft and cultural resources at present, inject the culture of Xixiang into education and cultural communication, and serve people’s spiritual and cultural life. On the other hand, through the development of cultural industry with cross-industry barriers, traditional craft culture can be transformed into the resources of contemporary Song Yun cultural industry, creating higher economic value, thus better serving people’s material and cultural needs.

"Cultural pension" is worth looking forward to.

On the aesthetic level of life, the "usefulness" and "uselessness" of culture may be a philosophical proposition, but in the medical field, the "usefulness" of culture is indispensable. According to Zheng Xiaoying, academician of the Academy of Sciences of developing countries and director of the Peking University Population Research Institute, culture is even more "useful" than science and technology.

Zheng Xiaoying said, "Everyone’s ultimate wish is to grow old healthily and say goodbye to the world happily. This is by no means a problem that can be solved by relying solely on science and technology or medical means, but a realm that must be achieved through the combination of culture, art and technology. In this sense, the infiltration of culture is more important than the development of science and technology. "Zheng Xiaoying believes that" medical art education should be integrated into medical education so that every doctor can accumulate deeper artistic accomplishment and cultural heritage. "

Zheng Xiaoying pointed out that cultural blessing is also needed to deal with the problem of population aging. She introduced that with the intensification of the aging process, the life expectancy of China’s population is also increasing rapidly. However, most of the increased life expectancy is unhealthy, that is, life expectancy with disabilities. Among the disabled people in China, 53% are elderly people. To solve the problems of these elderly disabled people, we need the support of science and technology, but more importantly, we need the support of culture. "Let them be happy and enjoy the benefits brought about by the reform and opening up to the maximum. This is not a problem that can be solved by a simple assistive device."

At the same time, Zheng Xiaoying emphasized the concept of "cultural support for the aged", which is a way to support the aged on the premise that the material needs of the elderly are basically guaranteed, on the basis of meeting spiritual needs, on the basis of communicating emotions, exchanging ideas and having a healthy body and mind, and on the purpose of publicizing individuality, advocating independence and enjoying the spirit of happiness and pleasure. "Cultural pension meets the spiritual needs of the elderly. For the elderly without children, this pension model is particularly important." Zheng Xiaoying said.

How to realize the mutual integration of science and technology and humanities

Undoubtedly, the integration of culture, art and technology can make people’s lives better. So, as an individual, how should we start from ourselves and realize the integration of technology and humanities? This is also a question that Wang Yuming, an academician of China Academy of Engineering and an expert in fluid sealing engineering technology, is often asked.

Wang Yuming laughed and called himself a "science man". "However, although my main business is mechanical engineering, I am not" mechanical "culturally. He is a student of Mr. Ye Jiaying, a consultant of the Chinese Poetry Society, the director of the Poetry Working Committee of colleges and universities, and the president of the Tsinghua University Lotus Pond Poetry Society. It can be said that he is a person who perfectly balances "poetry and distance".

When answering the question "how to realize the mutual integration of science and technology and humanities", Wang Yuming believes that in terms of values, science and technology and humanities and arts are both pursuing truth, goodness and beauty, and they are essentially interlinked; In the mode of thinking, both of them need logical thinking and inspiration epiphany thinking, which can promote each other. The same is true of many masters of science and technology (such as Einstein, Yang Zhenning, Qiu Chengtong, Gu Yuxiu, Qian Xuesen, etc.). However, the most important thing is to have a "pure heart" in both scientific research and literary creation.

On the "Use" of China Culture from the Outside

The Chinese culture has a long history, and the "useful" culture not only created the fashion life of the ancients, but also injected spiritual strength into solving modern social problems, and also brought about an impact on the civilized development of neighboring countries.

In the dialogue session, Cheng Yonghua, former Japanese ambassador extraordinary and plenipotentiary to People’s Republic of China (PRC) and executive vice president of China-Japan Friendship Association, introduced the "use" of Japanese culture to neighboring countries. He said that China’s culture had a profound influence on the Korean Peninsula, Viet Nam and Japan. Take Japan as an example. The Sui, Tang and Song Dynasties were the historical peaks of Sino-Japanese cultural exchanges. During this period, ancient Japan sent 19 groups of envoys to China to study, with a maximum of 600 people at a time. In addition to sending envoys, a large number of international students also came to China from ancient Japan. Many of them stayed for many years, and some even stayed in China to work as officials in Chang ‘an until they died and were buried in Chang ‘an. In 645 AD, the ancient Japanese carried out the "Dahua Innovation" movement, abolished the monopoly regime system in big noble, and established an ancient centralized state with reference to the rules and regulations of the Tang Dynasty in China. During the Song Dynasty, more and more Japanese people came to China to study. Jian Zhen, a monk in the Tang Dynasty, traveled eastward to preach the precepts to Japan and was honored as the ancestor of Japanese Buddhist legalists. The Tang Zhaoti Temple complex built by him and his disciples in Nara, Japan, embodies the architectural characteristics of the Tang Dynasty and is the largest and most beautiful building in Japan’s existing Tianping era. Japanese characters are also born out of Chinese characters. At first, there were only languages but no characters in Japan. In asuka period, Buddhist classics introduced into Japan along with Buddhism made Chinese characters penetrate into Japanese life. The first Chinese characters were used by ancient Japanese as phonography, but they were troublesome in the process of use, so heian period invented katakana and hiragana with reference to the radicals and cursive scripts of Chinese characters. In addition, the present Japanese court music-gagaku,It is also music from the Tang Dynasty in China.

Cheng Yonghua said that Sino-Japanese exchanges have a history of 2,000 years. Today, Japanese young people are still attracted by China’s rapid economic development and technological innovation, and feel that "they should go to China to see more and communicate more".

Whether it is "practical" or "useless", the China culture of the same strain needs and deserves to be passed down and carried forward by contemporary people. As Pan Lusheng said, culture is a nation’s overall lifestyle and value system. If the ancients’ fashion is integrated into contemporary life, we may be able to create a pioneer culture with temperature, connotation and taste in the new era.