Those who are not happy with the prospect of keeping money under their pillow are looking for safe investment instruments to combine high reliability and similar returns. Today,
What do safe investment instruments look like?
If you describe the opportunities for investments in no particular order, they will be:
- Bank deposit. A relatively simple and understandable tool for everyone. Interest on it, at best, allows you to cover inflation, and at worst, it can even be negative (if the relevant law is adopted on this). What is good is that the amount of money deposited into the account is always available. It can be easily and quickly removed or put back. The only thing is that if you request the deposit ahead of time, you will lose interest accrual. The body of the deposit is insured by the Deposit Insurance Agency in the amount of up to 1 million 400 thousand rubles. If there is too much money, it can simply be distributed among different banks.
- Currency, in the sense of dollars and euros. It is preferable to keep funds in USD, because the problems in the Eurozone do not stop. Most of the time, the foreign currency strengthens against the Russian ruble, but the balance of power can be changed for a year and a half.
- Gold and precious metals. They are used as safe-haven assets, widely used for the purpose of preserving capital. Gold is tangible, and will always have some value. It will grow when there is a crisis in a single country or around the world. If you catch a long uptrend, you can make good money on precious metals. However, high costs quite often offset the earnings received. For example, when buying a gold bar, you must pay 18% VAT on it. Just imagine how many points the cost must increase to keep you in the black! It turns out that safe investment instruments are not as attractive as it may seem at first.
- Residential and commercial real estate. A physically tangible object. In principle, it is quite in demand, although the implementation of each specific proposal at a high cost can take quite a long time. There are several ways to make money. For example, by investing in the project at the stage of digging a pit (there is a high risk of non-return of funds when cooperating with an unscrupulous developer), with the sale of the object after the construction of the entire building. By buying a home for its subsequent rental (take into account the current costs of repairs and utility bills) to earn about 6-8% per annum of the cost of a house or apartment. Purchase commercial or residential real estate closer to the outskirts of the city, so that after the growth of the metropolis, your area is already considered central. Then housing will rise in price by a certain number of percent. Although, it must be said, today the profit from working with real estate is not at all the same as it was 10-15 years ago.
- Federal loan bonds. They have the same level of reliability that is assigned to the state – average. For example, Switzerland has the highest. A person who has invested in OFZs is credited with the accumulated coupon income every day. When selling a financial instrument, the bondholder will receive his additional money. Your risks are default. But what is good is that the yield on these securities is not taxed, and often 30% higher than the same indicator for bank deposits. Plus, the securities are highly liquid: they can be sold in just a few seconds.
Inference
To summarize, we can say that the reliability and profitability of financial instruments are two concepts that are inversely related to each other. At the expense of what a person strives to make money, he necessarily takes on certain risks. History knows many types of crises when people lost their money very quickly. And here a wealthy person has a choice: to let inflation “eat up” all the accumulated savings, or to take a risk and try to increase the capital by at least some amount.
