Statistics for 10 years: investment in gold pros and cons
Few people know that the Russian market is a great opportunity to start an investment. Naturally, like any site, it has its own risks and nuances, but knowing all the pitfalls, you can be quite in the plus, experts say. Below is a summary of the Russian economy development over the past ten years, as well as the main profitable areas of investment. The period between the beginning of 2009 and 2019 is taken into account. It is worth noting at once that at that time the dollar was worth 24 rubles, and now it is 70.
So, where could an investor in 2009 invest with 1 million rubles in his hands, and what would he get out of it in ten years? First he could put all the money on the ruble deposit in his bank. This was the easiest way for a trader to choose at that time. As a result, at the beginning of 2019 he could withdraw more than 2.5 million rubles with an increase of 176%. However, due to the growth of the dollar in its equivalent, the investor will have only 6 thousand dollars of profit.
If the investor understands all the futility of such a contribution, but has a desire to support the domestic market, then the ideal option for him to buy securities of Russian organizations. At that time it was worth investing on the MICEX (Moscow Exchange) index, IMOEX. As a result, the profit would have reached 279% growth in rubles.
Another popular method is dollar deposit. Thus, with an average statistical rate of 3% for ten years, a depositor can expect 34% profit. However, in rubles the result reaches the mark of 217% profit.
Eurobonds are also an attractive, and most importantly, a reliable option. This investment is in a safer position than in a bank due to state guarantees. In addition, as a result, it is possible to obtain a higher percentage of profit. So, in 10 years the investments will increase by 50% in dollars and by 254% in rubles. However, it is worth mentioning that this type has its own limitations. The minimum investment amount should be 100 thousand dollars.
If the investor has a good understanding of trading, he may well invest in papers on the DJI index. As a result, it will have +165% in dollars and +528% in rubles in early 2019. Another option to invest in shares is to invest in the S&P 500 index. Here, the promised profit can reach even larger sizes: from 177% profit in dollars and 555% in rubles.
Investing in gold pros and cons
We should not forget about the most standard method of investment – gold. For 2019, the profit from the traditional investment would be 238% in rubles. However, experts say that the most profitable year for “gold” investors was 2012, when gold was offered for 40% more than today.
Real estate has become the most losing option during these ten years. If an investor decided to sell his apartment, the financial inflow would be only 37%, and in dollars he could even lose half of the investment. The only option is to rent out, then you can count on another 5% per year.
As a result, we must say that there is no ideal strategy that would suit every investor. You have to choose for yourself, based on your own initial possibilities and goals. Only in this case, the investor can hope for real profit.
