Reliable investments 2021
Nowadays, many people are increasingly wondering where is the best place to invest their money? In this situation, they are more interested not in the profitability of investments, but in their safety. This article will help you choose a reliable investment.
In fact, there is no absolutely reliable investment, there are always risks of losses. Especially when it comes to the post-Soviet countries. As a rule, the indicator of reliability of investments cannot be higher than the level of reliability of the state in which they are made. For example, the reliability of our bank deposits will be significantly different from deposits in Switzerland. Therefore, in this article, we will consider only those options that have the highest reliability in relation to others. So, let’s begin.
The most reliable investment
Reliable investments include investments of money that have an average or low yield. In simpler words, these are risk-free or medium-risk assets. For an investor who wants to save and increase their own capital, it is advisable to choose an investment strategy where you can combine investment methods. You can achieve optimal returns on your investment portfolio only if you use various financial instruments, namely the most stable stocks in the world, bonds, shares, etc.
Safe investments are a consequence of rational asset allocation. When forming an investment portfolio, the following factors should be taken into account::
- force majeure;
- decrease in the value of assets;
If your “eggs are not stored in one basket”, then the chances of creating a reliable investment are quite high.
A conservative investment strategy involves the use of such tools that will ensure the safety of investments. However, in the financial world, the rule is that the lower the risks, the lower the profit. The most profitable conservative investments include securities – stocks and bonds (OFZ). In second place are securities issued by regional authorities and strategic enterprises. In third place are mutual funds.
It will be possible to evaluate the effectiveness of these investments on the stock exchange after 5-10 years from the start date of the investment. Stocks can change their value in one direction or another over time, but in the long run, most of them show stable growth.
If you have no experience working with investments, you can contact a brokerage company for advice. You can get it online today. Of course, you can independently collect all the necessary information, study stock market trends, identify suitable financial instruments, and start drawing up a future investment portfolio. The choice of instruments depends on the amount of capital and your goals.
Every investor is driven by the desire to reduce risks and increase the profitability of the portfolio. To achieve this, you need to invest part of the funds in stocks, bonds and mutual funds, and part in high-risk assets, cryptocurrencies and businesses that promise quick benefits, as well as high returns.
Do you know what an investment portfolio should look like? Never use loans to invest. This is not economically feasible. The results will not be what you expect. In the first case, a long repayment period of the paper may lead to the fact that the loan will exceed the earnings received. Secondly, you should not exclude the risk of losing funds, the loan in this situation will not be canceled, it will have to be paid back in any case.
The share of one financial instrument in the portfolio should not exceed 50% of the total investment volume. The funds should be distributed in such a way that one half begins to give a noticeable profit, and the other half is preserved in the short term.
When choosing the most reliable assets, do not forget about inflation. If you want to not only save capital, but also increase it, some of the money should work to generate additional income.
Bank deposits — the safest investment
The first thing that comes to mind when you think about saving money is opening a bank deposit. When you deposit money, you will receive a certain reward from the bank. This is known even to those who do not have it.
You can even open a deposit with an amount of $ 20. A wide variety of bank deposits allows you to easily choose the option that is suitable for placement terms and interest rates. In addition, bank deposits have a fixed yield and high liquidity.
If you look at the truth, then bank deposits are not the most successful investment. This is due to its low profitability. The remuneration on deposits is too low and does not cover the current level of inflation in the country. Bank deposits are a financial safety net. They are also suitable for accumulating funds.
Despite the fact that bank deposits are insured, in case of force majeure, you will be given only the amount of the deposit, you can not count on interest. According to the law, the bank must return the deposit amount to the depositor, as well as the accrued remuneration. However, interest accrual on the deposit is made at the end of its validity period. If the bank is closed 1 day before the end of the deposit, the interest will not be returned to you. Therefore, it is better to give preference to deposits with monthly or quarterly capitalization.
Is investing in foreign currency the most reliable investment of money?
If you look at the history of the hryvnia exchange rate against the dollar, you can see how the foreign currency is strengthening its position against the hryvnia. Of course, there are times when the hryvnia begins to strengthen noticeably, but this happens extremely rarely, and it does not last long-at most 1 or 1.5 years. For this reason, investments in foreign currency are considered not only reliable, but also stable investments. The national currency is characterized by periodic devaluation, which puts it in a losing position.
You can only increase the reliability of your investment if the investment period is calculated in years. If you buy currency for a short period of time, you may find yourself in the red. You do not need to store currency at home, it is better to do it on a foreign currency deposit. Although the rates on it are low, but these days you should not give up on additional income.
What is the best currency to open a deposit in? There is no definitive answer yet. A reliable, stable and stable currency — pounds sterling, US dollars or Japanese yen-is suitable for storing money. Perhaps, in the near future, the Chinese yuan will be added to them. We did not include the euro in the list because it is not at the best of times, besides, its exchange rate against the dollar often falls and it is not known when the growth will occur.
Safe investment of money – federal loan bonds
Repayment of debt obligations is guaranteed by the state itself. OFZ directly depends on its creditworthiness. You will only be left with nothing if you default, but this is unlikely to ever happen. In addition, OFZ profits are not subject to taxation.
You can buy long-term bonds and, thus, fix the declared yield on them for the entire period of validity of the security. OFZ yields are almost 30% higher than the average return on bank deposits. In addition, such investments have high liquidity. This means that they can be sold quickly at any time.
Reliable investment in precious metals
This tool means investing in traditional solutions-gold or silver. The advantage of this method is that metals always have a specific value, which will never turn into zero. This means that precious metals will always be in price.
Investing in precious metals can not be considered a way to increase capital, it is more like preserving it. You can also make good money on gold. If you find yourself under the influence of a long uptrend, you can significantly increase your capital. The national currency may devalue over time, but the value of the metal may not, as it is affected by world quotations.
The most reliable investment on the Internet
The meaning of investing is that we invest money in something and for this we are paid a percentage every month. Or we buy something, and then sell it at a high price. These are examples that are more relevant to the real world. What are some reliable investments on the Internet?
One of the most popular and secure investments on the Internet is bitcoin. To date, bitcoin trading is the most popular method of speculation, which is characterized by minimal risks. Over the past few years, bitcoin has grown so much in value that not investing in it is tantamount to missing out on endless opportunities.
Have you ever heard of investing in WebMoney? This service gives each user the opportunity to perform the functions of a bank in one person. You can use the system to lend money, and the borrower and lender must agree on the terms of the loan in advance. The lender is charged interest every month. The borrower’s solvency is checked by the system itself, and all transactions are under its control. The only drawback of this solution is that there is no paper contract.
Investing in Forex has recently attracted the attention of people who want to make money. Forex reliable investments online start at $ 100. You don’t have to make the investment movements yourself.You can entrust the funds to the Pamm account manager. This solution is the most profitable. However, we should not forget that this is not an investment in Gazprom, but through the Internet, where unforeseen events occur every day.
Even the most secure online investments require an investor to have some knowledge of the financial world. If you do not have them, then you should not waste money, as the risk of losses is quite high.