If you want to close the year on the beat and with investment plans, the stock market may be an option for you.
Over the years, it has evolved, and therefore offers various schemes. It is not only the purchase of shares, now you can access other instruments, more sophisticated, and with greater scope.
Through Stock Exchange, you can access the various variable income investment instruments, as well as the public limited companies with variable capital, which offer the sale of their shares to the investing public.
Something that you should not lose sight of is that only through a financial intermediary can you access both Exchanges. An advisor from a Brokerage Firm will give you the certainty that the resources raised will be managed in a professional manner.
For example, Variable Income instruments, whose nature corresponds to shares, credit instruments, deposits or debt documents, in charge of a third party. You buy security. Under this premise, we will tell you five reasons why you should invest in the Stock Market.
1. Returns above inflation
We always complain that banks or traditional financial institutions do not offer a good return for our money. In fact, many people prefer to leave it under the mattress. If you decide on that option, you will be reducing the value of your money.
The stock market offers you the best returns. Why? Because its growth is higher than inflation.
2. Long term
It is the main objective. No business reaches its goal overnight. We must know how to wait for the investment to mature. Specialists consider that between five and 10 years is the right time to achieve the fruits. Historically, scientific stocks for instance have proven great returns.
At this time, it is essential to maintain discipline, if today the price of the stock in which you invested falls, nothing happens, it will recover tomorrow or next week. In this area we must never panic.
3. Titles of your liking
Many times, we can identify with titles of brands that you have known since childhood or well-known sectors. In the stock market are the brands that, when you were a child, were present at home.
Investments in the BMV and BIVA offer a wide range of nostalgia brands. But, an advisor to a Brokerage Firm will help you analyse each case, according to behaviour, that is, what numbers the company reports over the last few years.
4. Diversification
When you take the step to invest, your money has to be as safe as possible. Therefore, it is essential not to put all your “eggs” in the same basket. That is, you must include stocks or securities from various companies and sectors in your investment portfolio. The expert of a brokerage house will help you with this.
5. Benefits of market movements
By entering the market, you take an important step in your life. The movements they register generate opportunities for you. That is if the stock market moves with a positive trend it is almost a fact that they will be in a position to win.
If the market takes a profit rally, you will be on your way to the goal. But, if the movements are to the downside, there will be possibilities of losses, but do not panic, naturally, the stock market returns to positive territory. So, look for a Brokerage House and get started.