What are the best forms of investment at the moment?
In the midst of this current economic crisis, you may be wondering if it’s still worth investing, well whats the best investment to apply for your money. It turns out that you can apply your money well, even in times of crisis! Just understand a little better how the market works and make the right choices, according to the economic scenario. How about knowing some of these recommendations? Here is the list of information we have prepared:
Understand why the country’s economy and politics affect forms of investment
Did you know that politics and economics are all about your choice of investment as an individual applicator? Political decisions of the presidency, for example, may please or worry international investors. This leads to entry or exit of investments in the country, respectively. High interest rates also attract more speculative capital, investors looking for quick returns. On the upside, with the Selic up, fixed-income investments like DI funds, Treasury Direct or CDB yield more. If you want to know more about our Investment Guide.
Learn how interest and inflation affect investment income
Inflation has an indirect effect on the yields of its investments, since one of the objectives when making an application is to ensure that at least the devaluation of the money is offset by the results of the investment. That is: always deduct the rate of inflation when calculating the income of any investment. It helps you decide which investment is worth more, especially if inflation is expected to rise in the coming months. Another aspect that should be observed is interest. The higher the official government interest rates, the greater the benefits of investing in investments whose incomes accompany these interest rates.
What is the best investment currently: CDB, DI Fund or Treasury Direct?
Check out some essential information about each one and see what the best investment for you is:
- CDB: it is an investment for medium and long term (the longer the application time, the lower the income tax). He may have his earnings fixed, which is good when you expect to stay at the same level, or lower in the coming months. In the post-fixed CDB, its profitability varies according to the CDI remuneration rate (which is indirectly related to the interest rate). It is good for the investor who expects interest to increase in the coming months.
- DI Fund: This is a good investment for the current period, provided that the fund administration fees are not very high (0.5% is the ideal maximum value). In addition, they are a good choice for more conservative investors, especially in the medium and long term. Their yields vary according to the profile of the fund, but for the most part they are more advantageous than saving.
- Direct Treasury: This is a very safe investment, guaranteed by the government itself. Yields vary according to the Selic interest rate, so this is a very interesting option at the moment (high interest rates). If you wish to make a redemption before the due date in the security, you can sell it at the market price. Just go to the Treasury Direct page and choose your application!
And the savings? Is it still worth it?
Not worth, except for situations in which you need money very soon! As there is no collection of IOF, Income Tax and other forms of taxation in savings, these moves can be made quickly, without many costs. The maximum you will lose, if you make the redemption before the one-month anniversary of the deposit, is the income for that month. But make no mistake: low income is very low, and it hardly covers the rate of inflation. So, prefer some of the other forms of investment mentioned above!