Where to put your savings to work is not an easy decision. However, what you should consider is that your money does not lose value.
Many people are afraid of investing because they believe there is a high probability of losing their money and although there is zero risk, the truth is that there are instruments for everyone, from the riskiest to those who prefer to sacrifice a little performance for more security. .
Sacrifice a little performance for more security
Something that you must be very clear about is that it is important that the performance granted by the instrument of your choice is above inflation, otherwise it will lose value over time.
Bank notes: Due to their security, since they are a liquidable instrument, that is, at the end of the chosen or established term you have your money back plus a percentage of returns, they were widely used a few years ago.
However, today, that security they offer acts against performance, since the profits they offer are minimal, they do not even exceed inflation. In the market, the returns offered by financial institutions in this instrument do not exceed the annual rate of 3 percent, on average.
The entrance of many people to the investment
These instruments operated by the government became the entrance of many people to the investment, since an account can be opened from 100 pesos. However, due to low growth worldwide, central banks decided to reduce the reference rate, to reduce interest rates on loans, which would cause people to consume, which would ultimately boost the economy.
The side effect of this is that yields for savers were reduced, today who invests in this type of instruments does not win the battle against inflation, although for many specialists having money here is better than under the mattress.
Good Lender: People who decide to finance other people and enter the P2P model, under which Good Lender operates, can get returns from 8.90 to 28.9 percent per year, less a commission that charges the platform, a profit that definitely exceeds inflation.
One of its advantages is that being 250 pesos the minimum amount to lend
You can diversify between several credits, which lessens the risk that a lender acquires under this platform.
You can withdraw the funds each month, the payments are made or lend again to more credit applicants.
When you finally made the jump from saver to investor it is important that you identify the goal for which you are saving and growing your money, in addition to choosing the instrument that helps you achieve it. This is critical in the way you manage your money.