Where is the best place to invest money in 2020 – expert opinions and recommendations

How realistic is it to invest money at a high interest rate with a guarantee?

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The future investor wants to invest his savings as profitably as possible so that the investment pays off quickly and to the maximum. But all high-yield investments hide pitfalls, and the most lucrative offers have a risk of loss that is almost equal to the potential profit. But if you invest slowly, guided by reason and not passion, you can neutralize the danger of losing your finances and receive good passive income.

Basics of financial literacy

The law of investing says: invest only your own savings. Under no circumstances take out a loan or a loan from an MFO for any project. Do not borrow from friends and family, no matter what super-fast income the creators of the projects promise you.

If they go bankrupt, an unsuccessful investment will lead to a credit hole and bankruptcy, quarrels with loved ones from whom you borrowed money. In addition, there is a risk of running into scammers. It is they who promise quick and stunning enrichment.

Another important point concerns personal involvement in money circulation.

Carefully check the financial flows in which your funds are invested. Before transferring money, carry out your calculations of profitability, check the data of the creators of the project or the financial institution you are using for investment.

But even the most reliable partners can experience unforeseen situations. That is why you cannot invest all your savings at once. Financial literacy involves the distribution of funds into three categories:

• family needs;
• airbag (from 10 percent of income);
• working capital.

It is the last part of the income that is intended for investment. If these savings are small, you can find co-investors and jointly invest in a profitable and safe project.

Read and get rich

Before you put your savings into circulation, prepare for this. Any new business needs to be learned.

Now there are many such opportunities: on the World Wide Web, experienced investors share their experiences, conduct trainings and seminars, including free of charge.

Useful knowledge and subtleties can also be gleaned from books. For example, read “Ten Basic Rules for the Beginner Investor” by Burton Malkiel. An economics professor at Princeton University explains in an accessible and easy way how to avoid pitfalls and not get burned. He explains why diversification of the investment portfolio is necessary, and what the risk of working to overtake the market is.

The famous entrepreneur and investment guru Robert Kiyosaki published a galaxy of books on how to get rich from investments. He shares personal experience, provides expert recommendations and teaches financial control. One of his most interesting works is “Real Estate Investments”.

Robert Kiyosaki tells how to become rich in 2020:

Latest Economic Trends

Money must work in the economy, otherwise it depreciates. Over the past 5 years, prices in rubles have increased by approximately 41.6% , and for 2020 inflation is expected to accelerate from 4.3 to 5.5%.

Therefore, rubles that are in a safe or in a pocket continuously lose their value . However, there are many options where you can invest them. The choice must be made taking into account 2 main investment factors - profitability and risk. They are always connected - the higher the income from investing, the higher the risk of losing your money altogether.

By 2020, Russians had accumulated savings of almost 30 trillion rubles , but most of them - 19.6 trillion - were placed in deposit accounts. Another 4.7 trillion was in securities. There are other ways of investing - for example, real estate. State statistics simply cannot track investments in it for the purpose of savings.

The relative stabilization of the foreign exchange market in the last year has reduced the popularity of holding savings in foreign currency . It was much more popular in 2014-2015.

2017 and 2020 were marked by the rapid growth and equally rapid fall of cryptocurrencies (Bitcoin, Ethereum and other “coins”). Few people understand the principle of their operation, as well as the reasons for the rise and fall of prices. It is worth recognizing that many Russians have made money on crypto, but even more have lost part of their savings.

Recent events include the revocation of licenses from most major Forex brokers . This option is initially aimed only at experienced investors, and given the risk of license revocation, it is not worth considering.

The rapid growth of the real estate market is also worth noting. Before the actual ban on shared construction in mid-2020, the supply of real estate was growing very actively, prices were at a low level, and mortgage rates generally reached a historical low. By early 2020, growth began to slow.

Unfortunately, the outflow of capital from Russia abroad continues. It tripled in 2020 compared to 2020. This was not prevented by sanctions and a revision of the attitude in the West towards Russian capital. For a separate category, this is one of the ways to save.

However, in 2020, despite the moderate forecasts of economists (the increase in VAT and changes in the pension system will affect the entire economy), experts see an opportunity to make money on their savings.

Which bank to invest money in at high interest rates?

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Bank deposits are the most popular way to at least slightly increase family wealth. This method is common and relatively safe. The state insures invested amounts up to 1,400,000 rubles If the amount of invested capital is larger, it is advisable to distribute it among several banks.

However, a deposit is not the most profitable investment. The interest on invested money is small, rarely reaching 9 percent per annum. And on average the rate fluctuates in the range of 4–6 percent.

A generous dozen financial institutions that offer to invest funds at a high interest rate per month (from 8.10 to 7.12):

In other banks the interest rate currently does not exceed 7 percent. An accurate calculation of the profitability of a bank deposit, taking into account all the conditions, special offers and bonuses, can be carried out using the online calculator on the Sravni.ru website. The calculation is carried out taking into account the realities of your locality.

The rating of bank deposits with a comparison of the most profitable deposits at the beginning of 2020 is shown in the video:

How to reduce investment risks?

Investments always involve risk. Even buying federal bonds can lead to loss of money if the country defaults. In order to reduce investment risks, experts offer the following recommendations:

• You should invest only free money that can be lost without serious consequences;
• intuition and emotions are a poor basis for investing. It is necessary to evaluate the numerical indicators of companies and the market as a whole;
• work only with certified brokers and managers who have a license to operate;
• you should diversify your investments rather than investing all your money in one instrument and one company;
• have a financial “safety cushion”;
• investments are carried out according to a plan that is developed in advance. To do this, it is recommended to involve experts.

If these rules are followed, the overall investment risk is reduced.

Where to find high-yield, high-reliability investments

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Investments in a highly profitable project assume that the profitability for a month or even a few days will be higher than the annual profit in the same banks. But the risk of being left not only without interest, but without working capital is much higher.

Stocks, mutual funds, PAMM accounts

Many highly profitable investments have already become classic financial instruments, and their reliability is high. These include:

• Stocks and bonds. They can bring the investor up to 25 percent per annum. But sometimes the profit exceeds 80 percent if the investor successfully invested in a rapidly growing company.
• Mutual investment funds. The point of investing is that, with the help of an experienced manager, you can buy securities, foreign currency or precious metals that have dropped slightly in value. But such acquisitions usually stabilize in price or even gain weight. Average profitability is 30 percent . When choosing a mutual fund, you need to pay attention to market experience and positive statistics.
• PAMM accounts. These are interest distribution management modules that were created by the Alpari broker. They can only be called safe if the investment portfolio is diversified. The bottom line is that an experienced trader conducts trading from an investor’s account for a commission on the profit. In terms of profitability, this is a worthy instrument. It reaches 60–120 percent per year.

But in order not to get burned on PAMM accounts, you need to choose an experienced trader who has been helping investors for at least six months. It is not difficult to find a suitable organization or manager on the World Wide Web.

Industrial investments

Investments in industry can be very profitable if you choose the right industry. Energy is one of the most profitable investment options. Investors, especially Western ones, are of particular interest in alternative energy sources.

Domestic investors consider the direction promising. After all, imported fuel is still used in many parts of the country. At the same time, there is a tendency among those who can work remotely to move from polluted cities to environmentally friendly areas. Demand for devices that generate electricity from the sun, wind and earth is growing.

Expert opinion! Investments in telecommunications and IT enterprises are highly profitable. Thus, according to the Central Bank, the cost of MTS increased by 3.65 percent over the past year.

The development of agriculture is also a priority for the state; such enterprises are supported as part of import substitution. You can invest money in an existing agricultural complex or create your own.

If you decide to open a small production yourself or register a peasant farm, as in any other commercial project, you need to draw up a clear business plan, calculate the profitability of the enterprise, all possible risks and benefits.

Eternal values

These high-return investments have been used since the Middle Ages. First of all, this is the acquisition of land or real estate. Ironic Mark Twain said that you need to buy land, because it is no longer produced. How many more spacious agricultural plots lie abandoned and are sold at a meager price. But the Land Code allows not only to organize peasant farms and private subsidiary plots on vacant lots, but also to change the status of land to categories that are many times more expensive.

More often, investors invest in real estate. The price of apartments and private houses, despite all the ups and downs with the ruble exchange rate, is still growing. Moreover, while waiting for the right moment to sell, housing can be rented out.

Expert opinion! It is most profitable to purchase one-room apartments in areas with developed infrastructure. One apartment brings in at least 10 percent per annum and pays off in an average of 7 years.

In comparison, the average income from a larger apartment is about 6 percent, and the payback period is at least 10 years.

In the southern regions, rental of private houses is in demand, especially in the resort area. The advantage is in a personal plot where you can park a vehicle and not worry about a garage or parking lot.

Investing in precious metals is also a good idea. Despite the volatility of the exchange rate, gold still does not fall much in price. It is also convenient that a noble investment can be made in different forms:

• Compulsory medical insurance – purchase of gold reserves without “physical possession”. You will be given a document stating where your investment is located. Gold can be sold at any time, unless, of course, the bank bursts.
• ETF is a stock option for purchasing gold. You buy FXGD shares from FinEx on the Moscow Exchange or shares from the Irish - Vanguard or iShares, and track the cost. You can make an investment right from home from your tablet.
• Commemorative and collectible coins. An option for those who want to hold the purchase in their hands. They are easy to store and easy to sell. But it is always better to wait, since over time such an investment only gains value.

Buying physical gold is not profitable, because bullion is expensive, requires special storage space, and provokes an unhealthy desire among unscrupulous people to appropriate it.

Another traditional investment option is currency speculation. People have been doing this since the days of calculating with cowrie shells. Investments are made through banks or Forex brokerage companies. You can also make money on cryptocurrencies. Here it is important to constantly monitor rates and manage to minimize the risks of their fall.

Sometimes, to increase income, money is invested in antiques, paintings, sculptures. It's stylish, but there's a high risk of burning out. Only a person with an understanding of art history and the ability to predict the future value of such items should try this option.

And the best investment in eternal values ​​will be an investment in health and education – for yourself and your loved ones.

Investments depending on capital size

The amount of accumulated funds is different for everyone. This indicator should be taken into account when choosing a project:

• A. In stock - 5,000 rubles . You can risk such a small amount, for example, on binary options or even hype projects. If you don’t burn out, don’t be too upset, but you will gain invaluable experience. For the most timid, the best option is to purchase foreign currency.
• B. In stock - 10,000 rubles . It might be worth investing in yourself and starting a small remote business. As an option, you can also buy currency or a collectible coin.
• C. In stock - 25,000 rubles . Buy stocks and bonds, use mutual funds and PAMM accounts. Thus, mutual funds are available for a starting investment of 15,000 rubles.
• D. In stock – 50,000 rubles . Purchasing securities and using PAMM accounts at the same time. Starting from this amount, you shouldn’t put your eggs in one basket.
• E. In stock - 250,000 rubles . For quiet people, a good option is a bank deposit. This amount can be distributed to purchase foreign currency, gold, and it is enough to start a small business.

Recommendations on where to invest a million or more are below - in the chapter “The Highest Profitable Investments”.

Nine successful investment properties for investment in 2020 from investor Viktor Bogomazov on video:

Rules for successful investing

Let's imagine that you have 100 thousand rubles and you are exploring ideas for investing small amounts. I would recommend that you include the following instruments in your portfolio:

1. cryptocurrency (tokens and coins with good growth prospects);
2. Forex market (automated trading via bot, PAMM accounts);
3. Mutual fund or bank deposit;
4. online platforms;
5. investments in a business (start-up, business), including on equity terms.

The percentage share in each instrument is determined by you independently. Knowing and adhering to the basic rules on how to earn money as a student, which are collected on iqmonitor.ru, you can stop living on only one scholarship, but even save money.

Having a regular income

Regular passive income is an excellent option for receiving funds, both for those who work and for those who do not work in the traditional sense of the word. For example, you invested money in real estate and when you rent it out, you expect money to come in every month. Using online projects, you can earn income even for a couple of days, but during this time you will not only break even, but also receive a net profit.

Let me remind you: it is considered correct to save at least 30% of your entire income.

Planning and strategy

Develop your own investment portfolio or seek help in this matter from a financial advisor. Initially, ask yourself the question: which ones are the most profitable, what risks and their levels are typical for them, and when you can get back what you invested. Are you ready to take risks? An aggressive strategy awaits you, but not more than several times a year. But the average (democratic) allows you to make a profit and not take risks on the edge.

HYIPs as highly profitable investments on the Internet

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HYIP projects can also be considered as an investment tool. Very risky, but with the right approach it can bring huge profits. Essentially, this is a financial pyramid. The biggest earnings go to those who created it and the first investors to join.

Expert opinion! Those who joined at the end get nothing. They lose their investment.

What can be attractive in such a risky business? Huge income - up to 200 percent monthly. If you are not afraid of danger, you can try it. But the main thing here is to “jump off the train” in time.

Is it possible to make money in HYIPs? Strategy - on video:

Where you shouldn't invest money so as not to burn out

Even with minimal investment amounts, the investor has a fear of losing his capital. Therefore, you should initially choose minimally risky investment instruments and projects, and also abandon dubious investments.

Today there are areas that are mistakenly classified as investing. They are characterized by increased risks and are often associated with fraud.

Playing Forex is not an investment instrument or a way to earn a stable income. There are no clear rules and regulations that would regulate this area. This allows scammers to deceive gullible new investors. Forex in countries such as Russia and Ukraine is very often a regular simulation game. But with the right approach, this tool can bring quite significant profits. To do this, you need to choose a reliable company to provide financial services. But only a select few - international banks and certified brokers - have access to the real world Forex exchange.

Online casino. On the Internet you can find a lot of advertisements that promise quick and substantial earnings. But in most cases, the main goal of such “investments” is to leave a person without money. The following fraudulent schemes are used in online casinos:

• win-win combinations;
• mistakes in the game itself;
• game for 3rd party money.

Nobody says it's impossible to win at a casino. But the benefit from this will be very short-term; it is impossible to ensure a stable investment income and a comfortable future in this way.

Lotteries are another gambling game in which only a few win. It is important to remember that the chances of making a profit when purchasing one or more lottery tickets are negligible.

HYIPs or financial pyramids attract the attention of investors with high interest rates, which are paid in the shortest possible time. In fact, the investor falls for the tricks of scammers, which leave the vast majority of investors with nothing.

Of course, it cannot be denied that you can make money with all the above tools, but the chance of losing money is much higher. To have at least some confidence in making a profit, it is better to avoid such projects.

In order not to lose your investment, you should pay attention to the following important points:

1. In what sector of the economy is the investment project located? You should choose industries that have a dominant position in the market.
2. It is necessary to calculate whether the investment will be justified. For example, when investing in a new enterprise, you need to evaluate how competitive the products it produces will be and what kind of demand you can count on.
3. Objective risk assessment. Any investment involves risks. Before investing, you should understand what these risks may be.
4. When using the services of consultants, you need to choose only proven professionals. The success of the investment will depend 50% on the integrity, level of qualifications and experience of the intermediary.

The highest yielding investments

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The maximum income is received by those who have a large sum - from a million or more, and are ready to invest money at a high interest rate. What financial instruments should you use:

• Trust management. This is hiring a professional investor who will earn you profits by choosing profitable ones for a certain compensation. All you have to do is sign the papers and put the money in the chest. The main thing is to choose a truly professional with extensive experience and consistently good results.
• Investment in real estate or land. This is the most popular in the country and a truly working tool. After the pension reform, many are saving money to buy an apartment to rent out in their old age. Even if you don't have more than a million, you can buy a small studio under construction. But this is in a large city. And in the provincial one there’s not a bad apartment at all.
• Starting a business. All paths are open here. But if the risks are scary, and you don’t want to immediately use all your funds for business, buy a franchise.

The advantage of franchising is the low investment in an advertising company due to joining a well-promoted brand, as well as low competition. After all, the parent company does not allow the accumulation of subsidiaries in one territorial space. Constant support from the parent organization can turn from a plus to a minus: restrictions do not allow a businessman to expand.

Safe investments that work

Despite the large number of investment instruments on the market, experts identify the safest and most effective among them.

Real estate investing

The safest sector for investment, especially in times of crisis. In the vast majority of cases, real estate prices are rising. This means that you can get a good income from resale. In addition, you can buy and rent out real estate, receiving stable passive income. An important advantage of the method is the relative stability in the real estate markets. The big disadvantage is the low yield, which rarely exceeds 10% per year.

Video: Investments in real estate. Where to start for a beginner

Investing in Internet projects

A popular investment tool is website development or purchasing a ready-made web resource. Internet projects are in great demand in the market. After purchasing or creating your own website, you can make good money from advertising or resell projects. An important advantage of such an investment instrument is the minimum starting capital, ease of use, and maximum profit.

Investing in the stock market

Investing in the stock market is investing money in the purchase of company shares, bonds, futures and other exchange-traded assets. An important advantage of such investment instruments is relatively high returns with minimal risks. Purchasing securities allows you to receive a stable income due to rising prices, as well as by receiving dividends. There are few disadvantages to such an investment - you need to clearly know and understand the features and rules of the stock market, the patterns of its development. You also need to have financial analysis skills or choose an experienced and reliable intermediary broker.

Video: Investing in the stock market. How to start?

Investing in Precious Metals

Investing in precious metals is a fairly popular and well-known long-term method of investing capital all over the world. Traditionally, to generate income or save money, people invest in the purchase of gold bars, which are sold by banks, brokerage houses, and individual investors. Over the long term, precious metal prices rise. In addition, gold has always been considered a highly liquid investment - if necessary, an investor can quickly sell bullion at the market price without losing part of the investment or making a profit. In addition to gold, silver, platinum, and palladium are considered no less liquid and reliable precious metals. The only drawback of this investment instrument is the alternation of periods of stagnation and growth in the precious metals market.

Buying cryptocurrency

A modern source of high income. Today there are a large number of digital assets in the world, the scope and geography of which are steadily expanding. Bitcoins are considered the most common and promising in terms of investment. They are mobile and secure, show some growth and high liquidity ratios. The disadvantages of investing in electronic coins include the constant growth of interest in cryptocurrencies on the part of government agencies in different countries and the ban on their use in certain states. In addition, there is always a high risk of a “collapse” in an unsupported cryptocurrency rate.

Is there such a thing as completely passive income?

Doesn't need to be taken literally. Passive does not mean spontaneously occurring. Forget about the fact that you will lie on the couch and the income will fall into your pocket. Passive income will also require effort from you, but not regularly, but at several stages:

At the stage of accumulating starting capital . You need to get money from somewhere: save part of your salary for a while, for example, or use an inheritance. Then decide how much you want to invest and how much you want to get out of it.

At the stage of choosing tools. You need to choose where to invest your money, explore your options, and calculate the risks. If you have selected several sources and want to compare the benefits, the work doubles.

At the interim summing up. There are many investment options and their returns change constantly. What previously seemed profitable to you may bring losses six months later. Sometimes you need to reconsider your strategy: take money out of one instrument and transfer it to another.

Let’s assume that you have already passed the first stage and saved up ₽1 million for investment in passive income. Let's take a closer look at the options.

Bank deposits.

The very first and most understandable investment instrument for most people is a bank deposit.

Difficulty/Activity:

The simplest and most accessible investment tool for everyone. No activity is required from the investor; now in most banks deposits can even be opened online.

Profitability

: Low. By low yield we mean a level of interest rates that only allows you to save money from inflation, but not to increase it.

Income predictability:

100%. You see the bid before the trade begins. Rates, as a rule, do not change during the term of the contract.

Liquidity (the speed at which you can pull money out of your asset)

: High. High liquidity means you can withdraw your money at any time.

Risks

: Low. Deposits are insured, profitability is fixed, and the risk of losing money is minimal. However, in the current situation, you need to be careful when choosing both a bank and a deposit. Check out our article “how to choose the right bank”.

Starting amount

: from 1000 rubles.

Additional costs:

as a rule, no, but they may issue you a debit card, which will have a paid service or will have an overdraft attached to it. The advice here is this: when you go to the bank for a deposit, ask only for the deposit – clarify everything else and ask how much it will cost, even if they immediately say it’s free.

Suitable investment objectives:

1. An airbag is a reserve in case of job loss or other problems, using which you can live peacefully for several months. It is better to form such a reserve on deposits, because with other assets there may be problems with the prompt withdrawal of funds.
2. Intermediate storage location. For example, you are saving for a car or an apartment, putting aside 100 rubles each. per month. You have 4 months left until the required amount. At the same time, you are searching for the desired asset, and the money is on deposit. In any case, this is more profitable than storing them at home.

It is also easiest to apply the currency diversification rule to deposits. It is enough to open a multi-currency deposit or 2-3 deposits in different currencies. It is worth paying attention to the fact that inside such a deposit you can only move money at the rate of the given bank. For example, I once had a similar deposit in Svyaznoy, where the courses were not the most profitable, it was a shame.

Let's consider other investment instruments.

Invest small money in company shares

Full instructions (list of stocks, list of the best brokers, etc.) for investing in stocks can be found here: Where to invest money in 2020 - 2021.

The most popular brokers that offer to buy and invest money in shares of companies in Russia: Sberbank Investments, Tinkoff Investments, VTB, BCS, FINAM, Otkritie.

Investments with Yandex.Plus and VTB Account

A new way to invest through Yandex services together with VTB. A very simple and convenient way to invest from 1 ruble. We will not explain the reliability of Yandex and VTB as the largest state-controlled companies.

What is the advantage of the Yandex.Plus Investment Account service?

Everything is intuitive and you can invest from 1 ruble, so the service was created so that anyone could start investing in stocks, bonds, and funds.

Try the service: https://plus.yandex.ru/invest/catalog/stock/

Yandex.Plus account investments in shares