Savings: investing in the stock market through deposits

If you want to minimize the risks in investments in the stock market, they have a strategy to carry out your savings wishes very effective. It is about channeling yourselves through the Time deposits that are linked to equity transactions. They are developed by the main banks in the country, which put in the hands of their clients another way to invest their savings, and that they can make profitable their contributions regarding the most classic models of these products.

Equity-linked impositions are based on a very simple initiative. A part of the product is made under traditional royalties, with very low yields, which rarely exceed 0,75%, as a consequence of the lowering of the price of money. While the other party is linked to a basket of stocks that are listed on the stock market, although it can also be formalized with other financial assets, to the point of finding impositions linked even to precious metals.

As a consequence of this unique strategy, savers will be able to obtain higher profit margins on the product. Not excessively either, but at least as to get very close to the 2% environment. It is one of the possibilities to significantly improve the performance of bank deposits, leaving their marginal margins. And that is increasingly prevailing in the financial sector to boost savings in this innovative way.

However, it will require certain conditions, which can be highly difficult to achieve. They reside in that you have to achieve minimum objectives that pass for reaching certain levels in the share price. Sometimes they are very demanding. If they are achieved, congratulations, because you will have achieved that the interests increase significantly. But you should not worry too much if you do not succeed, since the minimum return on term deposits are guaranteed, although in this case you will not be able to improve margins.

Very conservative strategy

It is not very difficult for you to find any of these products in the current banking offer, with proposals of all kinds, and that affect most stock markets (new technologies, financial, electrical, etc.). In which cases should you open positions in these products? If you are an excessively defensive investor, or you simply do not want to take excessive risks in the equity markets, you will have an opportunity to contract one of these models.

On the one hand, they will allow you to enter the stock markets, but with absolute protection over your savings. Maintaining a guaranteed return, regardless of how equities evolve in the markets. Not surprisingly, one of the main advantages it brings to developing this strategy is that it always you will have all your financial contributions when due, and without taking risks that go against your interests.

And another, you do not give up staying away from the financial markets. Being able to take advantage of bullish movements of these to make your operations profitable. As you will be able to verify in this article, there will be no mystery in its design, much less in the operation of these more atypical deposits. They are adapted for any saver profile, who can formalize them at any time.

Conditions to contract them

They are governed by approaches very similar to traditional impositions, with few differences that are really striking. With the only exception that they contemplate longer periods of permanence than in the other formats. They develop between 18 and 36 months approximately. A period of time long enough for the equity side to achieve its appreciation targets.

The minimum amount, on the other hand, to subscribe it is very open to all households, since you can hire it from only 1.000 euros, depending on the offer prepared by the banking entities. The profitability generated, through the double remuneration model, will always be at maturity, and not in advance, as happens with certain frequency with other deposits.

However, there will be a very important condition that you should take into account if you are going to subscribe it in the coming months. It is none other than you will not be able to cancel it early. Unless, of course, you want to forego the return on equities. As a result, you will have no choice but to wait for your term of stay to recover all your contributions, including earnings. They will go directly to your checking account within the agreed deadlines.

What impositions can you hire?

Despite being a design that is offered by banks with some frequency, in many cases it is done through very punctual promotions, which are not always available in an opportune moment. But in any case, you will have enough savings models to satisfy this demand and make the savings profitable through this strategy. With proposals of all kinds, which will allow you to choose between the deposits that are more adapted to the profile you present as a small investor.

Within the current banking offer, the proposal promoted by Banco Sabadell to accept these challenges stands out. It has made the Ibex Up 18 Deposit, for a period of permanence of 18 months, and that it is linked to the national benchmark stock index.

Another alternative comes from the model developed by Openbank and which has crystallized under the name Depósito Combinado Inversión Duo. However, in this particular case, there will be an important news for you to take into account. A part of the investment will be fixed income, while the rest will be linked to a wide selection of investment funds, both variable and fixed income, to adapt it to your characteristics. With an average stay of 13 months.

Of similar benefits to the previous proposal is the Combined Deposit, which has been in charge of marketing Direct Office to its clients. It is an investment, aimed at a term of 13 months, which mix traditional savings with mutual funds as a formula so that interest is more generous at maturity. And that in their offer, they even allow you to make free transfers between these financial products.

Other alternatives for saving

The novelty of these unique time deposits is that they are not limited to financial assets linked to the stock markets, but rather are open to other financial sectors, in some of the cases under much more original approaches, which may even be surprising because of the audacity of their proposals. Not surprisingly, they cover a wide range of markets, transferring their savings models to the final recipient, who will not be other than savers, as it may be in your specific case.

There are countless ideas to use this business strategy, but as an example, we are left with some of them so that you can collect them from now on. Without a doubt, the benchmark index for mortgage loans, the Euribor, is one of the most significant.

To the extent that Kutxabank has developed an imposition of these characteristics that serves as the Subeybaja Deposit denomination. It differs from other formats because gives depositors the opportunity to collect interest in advance (monthly, quarterly, semi-annually or annually). It has a permanence destined to the medium term, since it is necessary that 2 years pass to recover the contributions and interests. And from a minimum amount of 6.000 euros.

Analyzing the current offer that financial institutions present in this class of products, we come to other models that are also based on the index to contract mortgage loans. It is the FlexiDepósito, which has been made by Cajamar for the most defensive clients to hire. And that in this case it is presented to the depositors with greater flexibility to receive the payment of their interests. From contributions that are very affordable for any profile of saved, from only 600 euros.

Five recipes to hire them

As these are products intended for savings with such clear singularities, they make your strategy have to change to adapt to the news they present. You should know that Although they provide a link to equities, they are designs eminently based on fixed. Not surprisingly, the risk you carry is practically non-existent, protecting the deposited assets at all times.

In spite of everything, and to make your operations profitable, you will have no choice but to import a series of tips that will be useful to you to relate to this kind of banking products. And whose application will be very simple to encourage savings, with practically no effort on your part. And that would be summarized in the following lines of action.

1. Before hiring them it will be necessary that you make sure about the indices on which your investment will be based. It is not that you take risks, of course not, but you must know when are the most opportune times to formalize them with greater guarantees.
2. It is clear enough that you can improve the performance of the deposits, but as long as certain conditions are met in its evolution in the markets. And that on the other hand, in certain proposals, they can be really demanding.
3. The disbursements that you will have to face will not be especially expansive, far from it, but you can open positions for less than 1.000 euros, and completely exempt from commissions and other expenses in its management.
4. They are open to any kind of investment, even linking your interests to those of the main investment funds, in no more than 50% of the investment.
5. And finally, it is an offer not as wide as that made through traditional savings deposits. With which, the choice should be more thoughtful, even taking a while until you sign the contract.