Of course, one of the best strategies to protect our savings is based on diversifying investments. But it cannot be done in any way, but through a correct planning of the investment portfolio that investors are going to build for the next few months. Above all, it must be balanced since it is one of the ways to avoid any kind of errors that penalizes our savings in an unnecessary and absurd way.
On the other hand, a correct way to diversify savings is based on not be limited to a single financial asset. Rather, the alternatives must be open to other options, both in fixed income and in other alternative financial markets (money, raw materials, precious metals, etc.). Because what it is at the end of the day is not to concentrate all the assets in one basket. This is a serious mistake that can have serious consequences on our checking account balance.
In addition, the fact of diversifying the investments carries other series of additional advantages. One of them is that it will generate the best scenario for any kind of situation. Not only to invest in expansive periods, but also in those most adverse for financial markets. Because one of the advantages of investment diversification is that it allows restructure our portfolio as many times as we want. Depending on the real situation of the financial markets. It is, in short, an active management of our money and not static, as is promoted by investors with less experience in financial markets.
Diversify: more financial assets
Undoubtedly, one of the keys to achieving this desired objective is to choose the best financial assets of every moment. Of course, we should not focus on just one since then we will be enhancing our error from those precise moments. One of the most effective strategies is to combine equity and fixed income assets with other alternative components, with monetary ones playing a more innovative role in making the currently open positions profitable.
In addition, it is one of the easiest ways you have to protect the money invested. Since the different financial assets will act brake in the most unfavorable scenarios for financial markets. With the possibility of even obtaining capital gains in one of these scenarios so complicated for your interests in relation to the world of money. One of these examples is represented by so-called mixed investment funds. Where they are open to different ways to manage user assets. As many of them actually do.
Be open to new options
To diversify investments you will have no choice but to be much more flexible in relation to the chosen financial assets. You have to keep almost all of them in mind. From traditional national bonds to more sophisticated ones, such as investment in oil. So that in this way, you can take advantage of all the business opportunities that are going to present themselves from now on. That is to say, the opposite of staying static and that the only thing that can generate you is that you go deeper into your losses in the least favorable scenarios for most financial assets.
On the other hand, one of the keys to carrying out this unique investment strategy is based on opting for flexible management. With which you are in the best of conditions to gradually increase the status of your checking account. Not in vain, it can be adapted at all times to all the economic conditions in the financial markets. Although for this, you will have no other solution than be very aware of everything that happens in the international economy. To change or several your investment portfolio depending on each situation. In this sense, you should not care about the terms of permanence because what is really important is to follow the trend of the best assets.
Through a basket of shares
If the market chosen to develop your investments is that of equities, you will have a strategy that will make you improve your results from now on. It is none other than leaning towards a basket of stocks instead of a single stock market value or in the best of cases just one. But through values that really complement each other in an effective way. That is, they cannot tip your decision to buy shares in two or three banks. Because if you do this you will have made a serious mistake. And it is that they will be able deepen the cuts if this sector is immersed in a bearish process of great intensity.
It is much better to look for segments of the bag that complement each other correctly. Selecting for the same investment portfolio proposed stocks as different as those from the energy, construction, new technologies and even food sectors. So that you protect your positions in an optimal way from any kind of approach. Of course, you won't have the losses you could develop from just one or two equity propositions. It is something that you will learn little by little with the passage of the operations that you formalize from these precise moments.
Complement it with other products
It will also be very useful if you mix what is pure and hard investment with the usual banking products. Such as time deposits, bank promissory notes or even high-paying accounts. You cannot forget that these savings models are a source of profitability in almost all cases. It is true that it will be very small, but at least it will help you not to fall into the red numbers. With a very beneficial effect for the rest of the investment. Your hiring of will generate an interest around 1%. But guaranteeing it every year without a real risk on the open positions on your part.
The percentage of the investment It will be determined by the profile you present as a small and medium investor. Because in effect, it will not be the same for an aggressive investor than for another where security prevails over other technical and fundamental considerations. You will be the one who chooses how much you will allocate to each of the products that are the object of these operations. Where the state presented by the different financial assets will also be very relevant. You can also save a little liquidity to take advantage of business opportunities that will surely appear at any time.
Go to other stock markets
There is no doubt that rotation of your money it must also meet this important premise. You can not forget that stagnating in a selective index or geographical area can be a serious mistake that can pay dearly from now on. You must go where the money of the big savers is going and in a constant and at the same time studied. Where the worst moment will be when it is necessary for you to leave a variable income market to go to another that shows a better technical state. That is, with a completely intact uptrend.
In this case, it is another investment strategy that is used by users who provide greater experience in the operations carried out. They know when to get out and where to concentrate your financial contributions, which is one of the most complicated parts of this kind of investment. Because, among things, it will require some excellent purchases. But also sales. Herein lies the key to the success of these investors and that they know how to diversify their money at any time and situation in the financial markets.
Periodic renewals
Another of the techniques used is the one that is based on going changing and renewing your investments every so often. Like for example, between one and three times a year. It will give you enough flexibility to adapt to all possible scenarios. From the most expansive conjuncturally to others where cuts are the common denominator of financial assets. It is not only important that you apply it in the purchase and sale of shares. But on the contrary, it will be very useful in investment funds, listed or even the most aggressive financial products.
You will only have to eliminate from your portfolio those investments that have not behaved as you initially expected. To replace them with others that show a higher appreciation potential. Or at least they are trading under a deep uptrend in the short and medium term. In this way, the profitability of your investments will increase, if not remarkably, if at the hands of not losing money with them. But under a very careful analysis of the financial markets.
Because in some situations some proposals will be valid and in others the rest. Not surprisingly, one of the great advantages of investing is that you can choose between different financial products. Many more than you can imagine from the beginning. But always diversifying your financial contributions. Do not forget it and you will have many benefits from now on.