Where and how to place your money - this is a very important question for anyone who has any. Carry your money on deposit in the bank today is no longer so important. In such circumstances, people are starting to look for alternative investment. One such option - trust.
Where and how to place your money - this is a very important question for anyone who has any. As a rule, the best can only be considered a placement of money, which means that they will multiply and you will be able to them at any time to remove, whenever you feel like it or when you need them.
As practice shows, such investment options funds is sufficiently small. Carry your money on deposit in the bank today it is not so important, and it no longer regarded as a storage option and capital increase for several reasons:
- due to the small size of annual interest;
- due to the fact that inflation is eating up almost all of the accrued interest;
- due to the introduction of laws on the levying of taxes on contributions.
In such circumstances, people are starting to look for alternative investment.
Of course, many dream of becoming a professional trader and receive millions without leaving the home. But not everyone can understand all the subtleties and nuances of the market and to withstand enormous psychological pressure by holding positions open. But do not give up, if you yourself do not get traded. To do this, there is an option of investing money, which is called trust.
So what is trust?
If you have spare cash, but there is no time or just a desire to learn how to professionally, earning on the stock market or the Forex market, you can invest your money by giving them under the control of professional traders who have a great experience.
Before you enter into a contract of trust management is necessary to become a client of the brokerage company. To do this, the following measures are implemented:
Formalized contractual relationship with the broker (dealing center).
Is registered and the account is opened.
You are connecting to the trading terminal.
Since this type of investment is considered to be the most profitable and can generate up to 50% per annum, and the risks are substantial.
Minimizing the riskLet's look at the main risks that arise in the process of asset management:
The risk of loss of the invested funds. No you can not guarantee that you will get a certain return. You only can tell the approximate profit. This can be partial or complete drawdown of positions, so that you may lose some of their money, or in the worst case, the entire capital.
Fraud risk manager. Sometimes it happens that when you transfer money to the account, the control stops responding to calls and questions. And then I found that you have on your account's nothing left.
Human factor. The Manager may, for example, get sick and not be able to complete the transaction.
What should make the readers MirSovetov to minimize all possible risks and to reduce them to zero? To do this, follow these simple rules that will help you to insure your capital against possible losses.
To limit risk, approach to the choice of trustee is extremely responsible. Do not immediately respond to the enticing advertisements. To begin to spend some time finding really the company that has long worked in the market, and has established itself as a reliable. Remember that those companies that lure sweet percent, clearly telling the whole story, hiding the possibility of losing part of the capital. The main thing to remember about the ratio of "risk-return". It states that the higher the potential return, the higher the potential risk. Therefore, when choosing a professional manager targeting primarily on its reputation.
To limit the extent of the contract of trust management of risk indicates a parameter characterizing the maximum amount of loss. Most brokerage firms who have as trustees to agree on the risk of not less than 15%. In that case, if the amount of the loss, recorded at the end of trading session, the contractual value exceeded, managing broker reimburse the customer of his loss.
In advance to discuss the tactics and strategy of investing to the manager to choose the most suitable tools for their money (the most conservative or aggressive). This is due to the fact that people completely react differently to the possible risk. Someone admits 30% of capital loss, and some can not tolerate, and 15%.
High Yield Investments - is always a risk, so do not put all the available funds, invest only a part. No wonder they say that you can not keep all your eggs in one basket and the need to diversify their capital in order to minimize risks.