How to improve your financial literacy? To improve your financial literacy, the first and most important thing is to understand what "debt" is. Understand what debt brings to you? What are the advantages and disadvantages?

If you have the ability to save money, it means you already have extra money in your life, and then you can start investing money.

The first thing you should pay attention to is the risk of investing money, the risk comes from two aspects, on the one hand, the risk of external understanding, including the risk of products, on the other hand, the risk of their own ability to take risks. Know the risk, and then consider what kind of risk can be taken to get what kind of reward. That is, the risk premium, what kind of reward for taking risks, this thing is not bearable, bearable people, most of them can get a better return on investment.

The next thing is, understand their own risk tolerance, to invest money, with greater savings, will consider a variety of other ways to invest money, or even buy and sell houses, or make other relatively large investments, such as equity investment and so on.

These things will involve a broader cognition, these broader cognition comes from your understanding of life, for the understanding of reading, whether you like to contact new information, research new business models, contact with new people, these need a lot of reading to accumulate.

When we first came out of society, want to do the big boys investment, those are belong to the sky, not that you can not do, but you skipped too much cognition in the middle, and these will become your risk, understand the risk after the risk is not called risk, called opportunity, do not understand the risk of opportunity all is risk.