Middle-income Groups Of Urban Residents Personal Financial Risk And Prevention,

The report of the Seventeenth National Congress of the Communist Party of China points out that we should gradually increase the proportion of the resident income in the national income distribution, improve labor remuneration's proportion in the initial distribution. China will create conditions to enable more people to have property income. In addition, the reasonable and orderly income distribution pattern has taken shape, middle - income people account for the majority.Since reform and opening, China's economy has got remarkable achievements, economic growth was steady and sustained. All kinds of indices have a great deal growth, such as GDP and per-capita income. These indices make big effect on people's standard of living and the accumulation of personal wealth. In 2009, the urban residents per capita income was 18,858 yuan. And per capita disposable income of urban residents was 17,175 yuan, an increase of 8.8% after deducting price factors, the actual increase of 9.8%. These data show that China have more and more affluent groups, especially the urban middle-income. The increase in incomes provides a relatively solid material foundation and intrinsic motivation for China's personal financial management.Finance is a risky economic activities, existence of the external environment, the complexity and variability, as well as people of limited cognitive ability are the fundamental reason of financial risk. In the financial management process, middle-income urban residents have to pay attention to the returns on one hand, and also should attach importance to the risk, financial management is to strike a balance between income and risk. Personal finance research and explore the possible risks, would help middle-income class of urban select the appropriate financial means to effectively reduce and prevent possible risks. In this paper, based on previous studies, from theory to practice, the author make a discussion to the problem and the countermeasures of middle-income class of urban residents in the risk of personal finance.The paper has six chapters, of which the main part is the third chapter, Chapter IV, and V. The third chapter focuses on the urban residents, the fiscal status of current financial situation of middle-income class. Chapter IV focuses on middle-income urban residents in the process of financial risks. Chapter V raises the risk prevention measures based on chapter IV.The main innovation of this article may be reflected in the following aspects: This paper differentiate middle-income class of urban residents other groups, and put forward practical measures for financial risk prevention according to middle-income class of urban residents own characteristics.