People do not distinguish between investing and saving. It is very important to invest more on maths and trends than emotions. So when we decide to invest, we need to take into account three basic factors: revenue, risk and liquidity.
Units are worthless without zeros and zeroes without units
Only by joining them is there a value that you can lean on. Investing so that it pays off.
How to start investing? A simple question with a complex answer. The investment is a long-term capital commitment to profit. These are actually expenses for future profits. At the beginning, however, it is sufficient if we make an overview of the investment possibilities, their advantages and disadvantages. It is very important to invest more on maths and trends than emotions. So when we decide to invest, we need to take into account three basic factors: revenue, risk and liquidity (investment triangle).
Investing doesn’t mean saving yourself
The basic drawback is that people do not distinguish between investing and saving. Slovaks often save for a specific purpose such as vacation, car, reconstruction, children and so on. In this way, however, they create a reserve that they then spend on their purpose and result in them being at zero again. Saving and investing are similar activities, both using financial products such as mutual funds. The basic difference is that when saving into a selected financial product, you deposit a certain amount on a regular basis (monthly) while investing in a selected “product” usually inserts the amount invested. Another difference is the amount. When saving, these are smaller amounts and when investing you usually deposit a one-time higher amount of funds. On a one-time investment, it is important to keep the investment horizon when it comes to higher amounts, which is why it should be free financial resources (vacant assets) rather than a reserve to achieve higher returns than on savings products. In other words, the definition of revenue is a reward for the risk incurred.
Possibility to invest from the comfort of home
In today’s electronic age, it is also possible for an investor to invest over the Internet, for example, via the Internet. First and foremost, you must opt for the best option and explore availability. There are many possibilities and we have already written more about previous articles.
“Investing” over the Internet: retirement savings, bonds, stocks, mutual funds, stock exchanges and others, but we can also choose alternative forms of investment such as art, wine, real estate.
Do you want to have a pension like the Swiss?
Just a few months ago, the media struggled for the importance of II. pillar. Whether you decided to stay only in the 1st pillar, or are you involved in the II. pillar, your pension will probably not be at a height to compare it to “neighbors from the west”. Last year’s PARTNERS Survey shows that as many as 62% of working Slovaks do not rely on retirement and rely on I. and II. pillar. This is mainly due to lack of information and unnecessary investment concerns.
Make yourself retired
To keep your standard of living in retirement, start retiring as soon as you are productive and receiving regular income. In the long term, you can save yourself in a number of ways, such as setting up life insurance with savings, in III. pillars, invest in real estate or mutual funds. Abroad, it is becoming increasingly common to retire, by investing in peer-to-peer loans for people.
Even now, when interest in banks is very low, many people use ordinary savings accounts to save money. The annual interest on these accounts is somewhere between 0.01% and 1.5%. The advantage is zero risk, but the return will not cover inflation (the current annual MFSR inflation rate is 1%, although it was only 0.2% in May 2015), and thus your savings are depreciated every year. But this is not investing but regular saving.
Investing through Credit Adviser Euro, as
For those who have free money and want to really invest and valorize their money, ie above the inflation rate and want to make use of the possibility of investing over the Internet, see website and see what Euro annual interest rates are in Credit Adviser ( For example, when investing through Credit Adviser for 5 years, the yield is 5%) as your investments are secure and diversified. If you are interested, you only need to select the investment period and its corresponding annual interest rate, fill in a short registration, send an investment and make money.