First of all, low-cost financial management is usually accompanied by high risks. In the market competition, some wealth management products will deliberately exaggerate or even falsely report the rate of return in order to attract customers. But in fact, there are often huge risks hidden behind these inflated returns. For example, some wealth management products may involve high-risk investment fields, such as stocks and futures, which have great uncertainty and may lead to heavy losses for investors.
Secondly, the promotion of some wealth management products may be misleading. In order to attract customers, some wealth management products may use some vague descriptions, such as "stable" and "low risk". But in fact, these descriptions may be inaccurate or even misleading. For example, some wealth management products may invest some funds in high-risk investment areas, but transfer the risks in these investment areas to investors. This kind of behavior may mislead investors into thinking that the product risk is low and making wrong decisions.
Finally, some contracts of wealth management products may have loopholes. When purchasing wealth management products, investors usually sign a contract. However, some contracts of wealth management products may have loopholes, which may put investors at a disadvantage. For example, some contracts may stipulate that investors must redeem their funds according to the agreed redemption time, otherwise they will pay liquidated damages. This regulation may bring great pressure to investors when they are in urgent need of funds.
To sum up, although low-cost financial management is attractive, there are also many traps. Investors should be more cautious when choosing wealth management products, not only paying attention to the yield of products, but also paying attention to their risks and contract terms. Only in this way can we better protect our own interests.