Transfers between investment funds, how can they benefit?

<>Investment funds, in their infinity of modalities, is one of the products with greater acceptance by small and medium investors. Como resultado de la fuga de los flujos monetarios de las persons que habían guardado sus ahorros en depósitos bancarios. Y que tras la decisión del Banco Central Europeo (BCE) de bajar el precio del dinero y dejarlo prácticamente sin valor a 0, has desviado tus aportaciones a los fondos.

To check this fact, the latest data provided by the Association of Collective Investment Organizations (Inverco) shows that the the volume of pension fund assets reached a new all-time high During the last months. Of this dynamic, mutual funds, together with pensions and insurance, already account for almost 60% of the portfolio of Spanish households. The large number of formats that can be subscribed helps to understand this movement among Spanish savings.

But if there is one feature that benefits the many hundreds and hundreds of Spaniards who have saved their savings in these financial instruments, it is the great facility to transfer them, with great advantages for them. Even benefiting from not paying taxes at the times you consider appropriate, and decidedly, legally and totally transparent as you can see in this information.

How to transfer investment funds?

This savings and investment product can be transferred to other funds at any time and under any circumstance. But the most interesting thing for your interests is that the operation it won't cost you a euro, nor will it be sanctioned with any type of commissions or other expenses in its administration. Of course, as long as you do them within the same financial institution. And even take advantage of the various offers they present to subscribe or keep these products in your investment portfolio.

You can transfer your funds to other people of any nature, from one variable income to another of a mixed nature, or in the opposite direction, there are no restrictions to carry out this type of movement. They can be carried out as many times as the owner of the securities portfolio wishes. It will only be necessary to give the order to the bank where the securities account is contracted. And that can even be executed online if you have contracted this modality in the bank. Comfortably from home and at any time of the day.

It is an operation that is very convenient when, for whatever reason, you do not feel comfortable with a contracted investment fund. Well, because it does not progress as you would have liked, it is not the best model to focus the investment at that precise moment, or basically its profitability is not the most satisfactory for your expectations as a small investor. It will be the right time to move the portfolio through the steps between mutual funds.

Formalize the operation

It does not matter if they are funds from different management companies, since the only requirement to present the operation is that they belong to the same owner, regardless of their composition and the amount of the contributions made. It is an operation that is very convenient to perform from time to time, to update the best products for each occasion, and fundamentally in the face of the changing scenarios of the international economic situation. Keeping a fund in a portfolio, statically for a long time, is a serious mistake that can cost the holders of these financial instruments many euros.

Depending on the new situations that arise, the investment can be varied in a satisfactory way for your interests. Do not hesitate, to boost the performance of the savings invested in mutual funds. Even though it is not desirable to change them on a regular basis. Not in vain, they are products that are not designed for the short term, but for a long-term permanence. Regularly between 3 and 6 years approximately.

Your tax advantages

Existe una strategy muy beneficiosa para que puedas usarla con cierta frecuencia. It is about saving you the immediate payment of taxes. And that can be materialized through these operations, in other words, through investment fund transfers. Instead of paying these fees through your sales, you can delay this payment by transferring it to another product with these characteristics. And you can even wait for taxes to drop to formalize to finish the sales.

It is a legal trick used by many investors to avoid facing these payments immediately. And those that lack other investment products (exchange-traded funds, warrants, derivatives, sale on credit, etc.). In this way, it is a very beneficial operation that you can use at any time, without restrictions. As if it were a savings bag, and in the style of money saving plans that financial institutions have been developing.

Situations in which you must make transfers

There are always more opportune moments to execute these orders, and it is really convenient that you know them to make the most of the operations according to your interests. And that can be chosen in the following moments in which we are going to show you the conformity of the transfers between the funds.

• You have made a mistake when selecting investment models and you have realized it. You will face the possibility of rectifying and opt for other investment formats more appropriate to the new situation.
• Its evolution in the financial markets is not the initial initiative, and even instead of being with capital gains, You may even be losing part of the invested capital.
• Prior to change in the environment of international economic activity, which requires a variance in the financial assets that are part of your investment initiative. Even counting on the advice of the bank itself.
• After spending several years in the same investment fund, it will be time to change it for another that meets your expectations, and thus start a new cycle in this class of financial instruments.
• As a strategy for diversify investment through different savings formats: fixed income, variable, mixed, alternative, with protected currency, etc. It will be a very cost effective way to protect your savings more securely.
• According to investor profile that you are presenting at any moment, and that it does not have to be always the same. It can vary based on many variables that condition your personal accounts.
• Before any sudden movement that is generated en los mercados de renta fija o variable. Y ese será el detonante para dar la vuelta a la cartera de inversiones en ese preciso momento, be cual sea su naturaleza y composición.

Offers for transfers

Además puedes beneficiarte de las innumerables ofertas y promociones que las organizaciones financieras vienen desarrollando para captar el dinero de sus clientes, algunos de ellos verdaderamente agresivos. Uno de los más ventajosos para tus intereses como client e inversor proviene de las transferencias a otras entidades. No en vano, many banks reward new customers with cash to carry funds from other entities.

It can be a very interesting operation if you are thinking of changing banks, or they are basically movements to your liking. You should not do anything completely, but it will be the entity itself who is in charge of promoting the administrative procedures to formalize this exchange between its investment funds. You will not have to pay any commission, not even other expenses in its administration.

If you decide to carry out this procedure, you will have no choice but to analyze the bank's offer, and opt for the models that provide the greatest advantages. Knowing that it will not alter the nature of your investment, not even the contributions you make. You will continue with the same investment, but in another bank. That is the only difference you will notice when you formalize the transfer between the funds.

What goals do you achieve with the transfers?

Through these simple banking movements, you can achieve a series of advantages that you would not obtain through other channels of action. And that will depend a lot on the objectives you set for yourself when subscribing to this type of financial instruments. Although in general, these will be some of the contributions that you will soon notice.

1. You can adapt to any economic cycle, even in the face of the most adverse situations in the economic scenario. And all this without having to leave these formats that are investment funds.
2. It will involve a radical turn to their approaches investors, from the profile you present and adapted to all kinds of circumstances. No need to lose money on the road since there will be no settlements of operations.
3. You will be in a position to remedy deficiencies in your investment portfolio, and that can weigh down your assets for months to come. You will be the one to direct the strategy to make the savings profitable.
4. They are operations very easy to do, and that in a few minutes it can be processed. Even though we will have to wait a few days just to see how the shares of the new titles are already listed on the financial markets.
5. You will have time to analyze the offer of managers, and check which are the most suitable investment funds for you, to boost your ability to generate savings. Even with the help of professionals in this investment field.
6. And finally, a very clear possibility that you have to revitalize your savings in the face of new changes that the economy is experiencing, both nationally and internationally. Designing a savings model tailored to your needs and based on your needs.