You no longer have to wait for Monday to trade equities, but some stock indices and financial products are available on weekends. In recent years, the option of operating in financial instruments has been opening during Saturdays and Sundays, even from such innovative markets as virtual currency.
Until now, investment in equities followed the steps of working days, from Monday to Friday, having immobilized positions during the weekends. Since Friday afternoon, investors had no choice but to rest until early Monday to resume operations in the financial markets.
During the 2018 financial year, six festina days are also included, and another two sessions with early closings in the Spanish stock exchanges, options markets (MEFF) and corporate debt (AIAF). With regard to international markets, the trend is governed by similar approaches in almost all of their listed markets.
Weekend investment: models
However, this trend is changing as a consequence of the increased flexibility generated in financial markets and with the appearance of new products They also operate on weekends. To the point of offering the opportunity to invest in these periods still unexplored by a good part of the users and take advantage of the movements of the different financial assets to make the savings profitable. This offer is increasing every time because money does not understand time limits to move in the markets.
With regard to the stock markets, the vast majority of trading floors they are kept closed during all the weekends of the year. It is a pact that has been in force for a long time, but is not applied in certain latitudes. Because in some exotic markets you can also invest on these days of the week that are linked to rest and leisure. This is the case of the Israeli and Saudi Arabian stock exchanges, which due to the special characteristics of their companies allow investors to operate with the values of their respective indices.
After hours markets
In any case, the main drawback to satisfying this desire is that it is very difficult to operate with these markets from the brokers and Spanish financial intermediaries. There will be no other solution than to detect an entity that if you collect this special financial service. And in any case, under some more demanding commissions than in European or North American equities. Where the intermediation margins can be doubled or even tripled to open positions in listed securities.
Simpler, and at the same time effective, is to go to the markets as if it were the trading after-hours in United States. In particular, to carry out derivatives operations during these days of the week. With great possibilities of obtaining large capital gains due to the dynamism of its prices, but with a latent risk that exceeds that of other financial products. However, one of the most active markets during the last days of the week is stock futures. To do this, you will have no choice but to focus on the large international equity indices: Dow Jones, Nasdaq or Eurostoxx. They are in continuous activity every day, with hardly any rest.
Operate in international markets
Faced with any turbulence on the weekends they act with a huge volatility for the conformation of their prices. Therefore, investors who like to be in contact with the world of money will be able to operate with these markets with complete freedom from the most important financial platforms. The differences in the price are higher than the traditional investment and as a consequence of this characteristic the possibilities are opened for the operations to be more profitable.
Through this strategy it is also possible to trade in Asian index futures that are very receptive to this kind of movements in equities. As for example, in reference centers such as Nikkei 225 or China's Hang Seng. In any case, these markets allow anticipating the taking of positions when opening before the markets of the old continent. From midnight they will already be in operation for any kind of purchases or sales of shares or futures.
Investing in virtual currencies
One of the alternatives to fill this gap left in investment on weekends is represented by some of the cryptocurrencies, most relevant of the moment. As in the specific case of bitcoin listed on the Chicago regulated market. On the other hand, it is also represented by the futures of this virtual currency or by its changes with the main currencies of the market: dollar, euro or the Chinese yuan. This time, from some online investment platforms.
If you are thinking that virtual currencies are a model for the most profitable investment, be sure that you are not wrong. But of course since about much more aggressive approaches than those previously exposed. Not surprisingly, the risks you take in operations are beyond all doubt. To the point that you can leave a good part of the invested capital. The moment of reflection will come and ask yourself if it is really worth opting for this risky investment. You have a lot to lose on these special, yet innovative financial assets.
Operate in national markets
If you want to invest your money at the wrong time, that is, outside of conventional hours, the national equities of course that offers you fewer opportunities than in the international markets. To the point that the possibilities are minimal and above all very limited in terms of the offer that these financial assets offer you at this precise moment. You will basically have to resort to the futures markets of the Spanish stock market. But in any case, under much more complex operations that may not satisfy your interests in the investment sector.
On the other hand, you cannot forget at any time that this alternative to traditional investment it is usually more expensive for commissions that their operations entail. With an increase in rates that can reach levels very close to 30%. It's like asking yourself right now if you really want to enter these special markets. Especially when you have other more attractive outside our borders. In addition, with a much more latent risk in each of the operations carried out in these financial markets.
Advantages in this kind of investment
You should also ask yourself what are the benefits of adopting these operations in the equity markets. Because at the end of the day we are talking about an investment that is substantially different in almost all its mechanics. In this sense, it is convenient for you to know what are the advantages that you are going to acquire by opting for this kind of investment so atypical. At least with regard to small and medium investors with a more defensive or conservative profile. And among which the ones that we expose below stand out.
- You don't have to limit yourself to conventional schedules and in this way you are in a position to expand your possibilities to make your personal savings profitable. Although it is at the cost of contracting greater risk in operations.
- Can opt for different financial assets. From some of the most traditional to others that are truly innovative and have been in the financial markets for a very short time. You will have a wide offer where you can deposit your savings from now on. Depending on the conjunctural moment that the international economy is going through.
- As it is well said that money never sleeps, you can access markets until a few months ago few explored by financial intermediaries. Some of them can be very profitable and this is the opportunity to open positions in them.
- In this class of investments you can improve the growth expectations that offer you another kind of much more conventional operations. To the point that they can help optimize all kinds of operations, and almost without limits in the strategies used from now on.
Risk in these operations
On the contrary, the option of markets outside the normal hours requires special care due to the very special characteristics of these operations in the equity markets. Among others those that we point out below.
- You must provide a Greater experience in this class of operations. Because they are more complex movements that require you to be more used to operating with these financial assets.
- You can leave you many euros down the road and in a much shorter time than you might think from the beginning.
- You will be much more hooked on the world of money since you will carry out the operations at the moment when you can enjoy your free time. In this sense, do not doubt that you will lose quality of life to be with your loved ones.
- It is more complex to detect channels where you can operate with this kind of investment. To the point that you will have to look for alternative platforms. With which you will have to have a greater familiarity in the operations and that only with experience you can achieve.