Solo Brokers help to understand, how to form a long portfolio and not be distracted by news noise. Now let's talk about that, what efficiency do different assets actually bring.
specialist money management
Arthur Bedzhanov, Individual broker
In ordinary life, we practically do not notice a general increase in prices.. However, inflation is slowly devaluing savings and, if it is boycotted, can damage your capital. Therefore, the effectiveness of instruments must be associated with an inflation adjustment - apply an indicator of real effectiveness.
Let's take a look, what real efficiency did the financiers of various assets get under the influence of an increase in the general price level. For ruble assets, we will analyze the historical efficiency over the past 25–30 years, actually since the formation of the securities market in the Russian Federation, and in dollar terms - in the context of the century. This information will allow you to provide, how much will you earn on investments in the future, taking into account market volatility and potential crises.
Storing funds under a mattress or in compartments is the worst possible option.. At the same time, regardless of the currency. For sure, have you heard the phrase "the means must work", and here's a nice confirmation: with 1996 G. cash rubles brought negative real efficiency more than 12% in year, dollars - almost three percent. It means, that over time you can purchase fewer products for the same funds.
Conservative tools, similar as deposits and municipal bonds, protect against an increase in the general price level, but may not bring income. Deposits in rubles have shown a real efficiency of - one and a half percent per year, government securities Russia - a bit more 0. The effectiveness of these same instruments in dollars is -0,8 % per annum. The most popular investments in times of crisis - gold and real estate - bring in less than one percent per annum.
The stock market is more risky, but also more profitable. Even taking into account the increase in the general price level, the effectiveness of American stocks is 6,5 % per annum, Russian - about 9% in year.
Our calculations do not include several fundamental qualities.: taxation, spending on purchase, sale and storage of assets. However, we can already draw some conclusions..
1. Cash in any form destroys capital.
2. Bonds, Deposits, gold and real estate will be able to protect capital from an increase in the general level of prices and smooth out the dangers of its fluctuations.
3. Promotions allow you to significantly improve well-being.
Another time we will talk about an ordinary method to increase the profitability of investments - about a difficult interest..
