And why not invest in fixed income?

<>Frequently when we speak of investment we necessarily refer to equities. When truly fixed income is also a form of investment. And it may even be more profitable in certain economic scenarios. With the added advantage that comes in various formats and of diverse nature. Because in effect, it is represented by multiple financial instruments. From time deposits to investment funds linked to these financial assets. You have a lot to choose from depending on the profile you present as a small saver.

No es sorprendente que los mercados de renta fija estén acostumbrados a vivir con tipos de interés extraordinariamente bajos. Hasta el punto de que han podido distanciarte de estas operaciones, en detrimento del mercado de renta variable o inclusive de enfoques alternativos. Pero quizás be el momento más adecuado para go back to fixed income. You will have enough options to meet your demand. From the most traditional to other more innovative that have been created under different approaches.

European fixed income, why not?

It is one of the questions that you should ask yourself from now on and in the current economic scenario. In this regard, it cannot be forgotten at any time that the ECB has just reiterated the purchase program at a rate of 60,000 million euros per month starting in April. Its effect on the bond market will be more than evident and you will be able to benefit from these movements. Even though it cannot be forgotten that these stimuli from the European issuing bank may be developing a bubble in this financial market. Or at least a certain overvalued position, which could be corrected at any time. Just when you least expect it.

Of course, in the United States it is in a most advanced stage of the cycle, even though there are several financial analysts who believe they are at the end of the road. To avoid more than one obstacle in open positions, it is more desirable that you do not get caught with the marked step. Because you could develop large losses on your personal accounts. Where the class to fix this problem may lie in greater diversification of investments. Decide on different financial assets.

What products can you hire?

Of course, you will have many fixed income products where you will be able to make your savings profitable. The investment funds de estas características es una de las más adecuadas. Por la gran oferta que te presentan los gerentes. Con todas las modalidades e inclusive puedes contratarlas en otras monedas alejadas del euro. Además con la divisa cubierta, como strategy para proteger sus aportes económicos. Una amplia selección, en definitiva, de aquellas de las que no vas a poder escapar en tu intento de abrir posiciones de ahora en más.

Bonuses are another favorite product for your operations. With a wide range of them. Corporate, state, regional and even high risk if it is your wish. They are simple to complete and do not require special knowledge to take positions on these financial assets. Even though with a fixed and annual profitability that at the moment is not very spectacular. Whatever the case, and as in all types of investments, you will always have new business opportunities in this very traditional financial market.

In conclusion, you have the term deposits. Its mechanics are very different from previous investment models. But providing greater security to your income statement. They do not offer you a return on truly important savings, but in return you will have a fixed and guaranteed money every year. Something that other fixed income products do not provide. At least it will be useful for you to assess the opportunity to hire them or not based on your interests as a small and medium investor.

Strategies to follow

De ahora en más puedes aplicar una serie de acciones cuyo principal target es potenciar tus ganancias. Por lo tanto puedes enjoy capital gains faster for whatever liquidity needs you have right now. Because in reality, in certain scenarios, even the profitability of equities or even alternative models improve. Whatever the case, you have a few stocks that can make the most of your investments in this financial asset.

• Usually conforms to the complement perfect for developing capital operations. In the percentages that you consider most appropriate based on the profile you present as a small and medium investor. To the point that you can achieve your goals.
• In some of the cases do not guarantee a minimum profitability, since you can even lose money on investments. From this perspective, there will be no choice but to look for models that offer a fixed and assured profitability.
• Fixed income is almost always more beneficial in most unfavorable scenarios that develop in the international economy. It will be the most opportune moment to open positions in some of the most relevant models. Among them, investment funds or term deposits.
• Whatever the case, the return on savings will not be very satisfactory. It will rarely exceed the 1,50% barrier. In the best case. No commissions or other expenses in its administration or maintenance. With more conservative approaches than in any other type of investment.
• What alternative to investment you cannot forget to combine fixed income with equities. Through a model as commercialized among clients as investment funds. Even when in return, you will have no choice but to bear a higher cost in commissions.
• You also can't forget about the effect like savings enhancer these low-risk financial instruments are available. To the point that they can help you make a savings bag in the medium and long term. With almost guaranteed returns.

The advantages of fixed income

This type of investment generates a series of advantages that you have to take into account to plan your movements. Some of them are well known to everyone, but others are possibly original. They will be the following that we expose you below.

1. It will not generate excessive risks, nor will you need a financial culture above the usual one. It is something that you will always have available at any time, even in the most complicated scenarios of the stock markets.
2. You can solve between several products, some of them among the most common in any investment portfolio. Adapt to the profiles you present as a retail investor.
3. Your hiring model is based on both for savers and investors. Even though the plans must be substantially different, even radical on more than one occasion.
4. You will have no choice, in some of your products, but to wait its expiration coming recover the economic contributions and their consequent interests. With long periods of permanence that can get you into more than one obstacle due to lack of liquidity.
5. Fixed income is weighed down by lowering the price of money. Not surprisingly, this factor has caused its performance to be lower in recent months. Up to levels unknown until now.
6. It is a product that is intended for a very well defined savings profile. Old person, fear of risk and seeks a fixed return on your savings each year.
7. And as a last contribution, you should not forget that it is marketed for any kind of deadlines. Short, medium or long, depending on your personal interests. Because they are truly very flexible in this aspect, which is so important for the family economy.