49% of Mexicans use some savings instrument, but almost always with short-term objectives. 67% of savers use their capital in emergencies and unforeseen events and only 18% have a defined objective for their capital. In addition, retirement savings is not among their priorities. Millennials: should we start thinking about retirement?
In addition, only 20.5% of Mexicans use a formal savings instrument and of these, only 2% have an investment fund. This means that the vast majority of people keep their savings under the mattress or in batches and they are not obtaining benefits derived from their savings; On the contrary, due to inflation, they are losing money every year.
Investing your savings in a financial instrument
It is something serious and worthy of analysis, whether you have a short, medium or long-term financial goal. Investing requires strategies to reduce risks and increase performance. 5 basic tips for first time investors.
A first step is to discover what type of investment profile you have according to the risk you are looking for: conservative, moderate or risky. Conservative investors prefer to invest with longer return periods to reduce risk rates. The aggressive or risky accept high risk rates in exchange for higher returns on their investment. The second step in choosing the right instrument is to define the destination that the resources will have. The 4 financial personalities, what is yours?
Finally, before discussing the strategies, you must understand the difference between fixed income investment instruments and equity instruments. The first are those in which the return on investment is known in advance. Usually, they generate lower returns but have a lower risk rate, examples of them are: debt bonds, obligations, promissory notes, real estate, savings accounts and Plaza Finance, which gives you more returns than cetes and is a lot Easier to use.
These are those in which the actual rate of return they will generate is unknown beforehand, which can even be negative. Examples of them are: stocks, investment funds and convertible notes. Being instruments that depend on the performance of a company, market behavior or the evolution of the economy have a higher risk rate although they generate higher returns. The secret to excellent yields.