Save money

What better to keep the money?

Written by loan

Any sane person understands that to keep money at home (under the mattress or in a stocking) — not the best idea. In order to protect the money from inflation, you must invest your savings in certain financial instruments. It is understood by all. But then arguments usually stalled. There are dozens of questions: what are these tools? How to use them? Is it worth it at all to dig, will pay for any extra percentage of income associated with investment difficulties? We will try to answer at least some of these issues.

Which financial instruments are suitable for storage of money?

Different ways to multiply money by investing in various assets invented nearly endless. However, if we talk about capital savings for those goals, which helps our website (ie: the accumulation of money for the reserve Fund, to buy cars or apartments, and so on), you should present these assets are quite specific and stringent requirements.

First, the object (tool) in which we will store savings must be reliable, have a low degree of risk. It is obvious that high yield and high risk investments are more suited to the professional speculators, having good preparation.

Second, despite the high degree of reliability, the investments should provide capital growth, i.e. to cover inflation at least by a few percent (to get an idea about the real dimensions of a profitability review of data on inflation in Russia for years).

These are the two main requirements. However, they are not enough. The assets with which we will work in the process of growth of savings, and must meet other criteria. The fact that the strategy of accumulation that we offer on our website, is based on a relatively active management of the savings. To achieve the maximum revenue (in other words, the condition of “second), it will likely have to take money out of one asset and invest in another.

Hence an additional condition:

Thirdly, the legal registration of the investment must be reasonably simple and fast, to allow quick transfer of money from one instrument to another.

Specific examples of objects suitable for storage savings

The three requirements stated above in the General case, use the following tools:

  • Bank deposits in virtually any.
  • Cash foreign currency deposits in foreign currency.
  • Investing in gold and other precious metals in various forms (in the form of real metal, Unallocated metal accounts, gold futures).
  • Mutual funds (mutual Funds) and the General Bank management funds (mutual Fund).
  • Blue chips — shares of the largest and successful enterprises of the country and the world.

As you can see, the choice is quite large — it is only the basic ways, most of them are subspecies. The main task of the person who wants to protect and increase your savings is to choose the most relevant, timely tool. The fact that all the assets listed above, except for deposits, do not necessarily produce a nominal profit, and the rates on deposits in most cases (but not always!) are not large enough to cope with the period of money. To better understand the issue, see the article on how to resist inflation and what to invest during high inflation.

If you manage to choose the most suitable object for storing the money right now, and quickly change it if the situation changes, trends in the economy, it is very likely getting a good income, two or more overlapping rates on deposits.

How do you do it? There are many ways — from walking to the fortune teller to obtain a doctoral degree in Finance and credit. Well, one of the best, we certainly believe tracking updates to this website and following our recommendations. Hoard and save money.


About the author


Leave a Comment