Which is better to buy ETF index or stock?

For ordinary investors, investing in ETF index is much better than buying stocks directly in the market. Perhaps, many investors disagree with this view, which is negative. They believe that it is obvious to make more money by buying stocks directly in the market, and ETF index funds fluctuate very little. Not only is the risk synchronized with the stock, but it also earns much less than the stock. However, from the analysis of the actual situation, the profit probability of ordinary investors investing in ETF index funds is much higher than that of buying stocks directly in the market.

There is a saying in the stock market called "seven losses, two draws and one profit", which is an approximate ratio of profit and loss, meaning that about 70% investors in the stock market lose money, about 20% investors make a flat profit, and about 10% investors can make a profit. If the actual situation is analyzed, the profit-loss ratio may be worse. After all, "Pingzi" is also losing money in the stock market, and the probability of loss is higher because investors' own risk control is insufficient, and even less than 5% of investors can achieve profitability.

For professional investors, buying stocks is not as good as buying ETF index funds, but for ordinary investors, buying ETF index funds is not as good as buying stocks. Because ordinary investors know too little about the stock market, they can't control risks and seize opportunities. Ordinary investors have neither professional stock market theory support nor stock selection. They can't handle the problem calmly. When the stock price rises or falls sharply, they chase it up and kill it, and they don't operate calmly. They can't look at the difficulties objectively, and they don't have a strategy to implement. Even if the investment time is not fixed. With this investment method, the probability of natural loss is higher. Don't say "seven losses, two draws and one profit". Even ordinary investors are lucky enough to protect their capital in the stock market.

And buy ETF index funds? First of all, index funds track related indexes, not investing in stocks indiscriminately. As long as investors choose the direction of the relevant index funds, the winning rate will be as high as 50%. In addition, investors also need to know the history and investment methods of fund managers and funds. It is necessary to choose a fund manager who has been in business for a long time and can maintain a high compound annual rate of return, and the corresponding way to maintain a fixed investment. Only in this way can we maintain the state of long-term investment and achieve the highest winning rate.