There comes a time of year, such as Easter, when the security of savings must prevail over other considerations. In this sense, investments in equity markets can become one of the most dangerous products while you are on vacation this week. But anyway, through a few simple lines of action you will get that when you return from your trip you can have a little more money in your portfolio.
On the other hand, Easter is a very suitable time of the year also to divert the available capital towards other safer financial products that have a very short term of permanence. They are a few days but in some cases you can take the odd one negative surprise of which you may come to regret in the coming days. For this reason, it is advisable that you take all preventive measures in order to preserve your money above other technical considerations.
In addition, you cannot forget that this week the activity in the equity markets decreased a lot, it is significantly lower than the rest of the year. With the markets closed on Friday and next Monday and this means that you cannot make the money profitable in the way that you want. Precisely for this reason, there is more risk that volatility will take hold in the equity markets and there will be many differences between the maximum and minimum price of a share. Where surprises can be around at any time and you can be upset while enjoying the well-deserved rest with your family or friends.
Easter: partial sales
The evolution of the equity markets so far this year has been clearly satisfactory for the interests of small and medium-sized investors. Where the selective index of Spanish equities, the Ibex 35, has appreciated around 6%. Now may be a good time to enjoy the capital gains generated in this period and nothing better than liquidating the positions according to your own expectations. You have two investment strategies to carry out this time. On the one hand, sell all the shares and forget about the stock market for a long time.
This system will allow you to spend these rest days with greater peace of mind without having to worry about the evolution of the equity markets. While on the other hand, you can also opt for partial sales so that you can have a liquidity to meet Easter expenses without having to resort to other income in your checking account. While the other part of your capital can continue to make profitable savings if the financial markets respond positively on these special days of the year.
Avoid conflicting values
If you are going to take positions in the equity markets before going on vacation this Easter, do not formalize the operation in conflicting securities or sectors that may give you a dislike at this time of year. For a few days, not worth risking positions like this. If not, on the contrary, you should opt for solid and above all very stable stock values that are not very volatile to configure their prices. Although in the end the profitability is practically minimal or perhaps nil. Of course, the important thing is to preserve available capital.
On the other hand, and within this peculiar investment strategy, you can also choose the securities of the most defensive and conservative sectors of the financial markets. As for example, those linked to food or highways that give great security to the portfolio over other much more aggressive considerations. In these days of rest, what it is about is not to obtain large revaluations in your savings, but rather to ensure that you already have invested. And in a sense, choosing a safe-haven sector in the stock market is an excellent choice for these days of spring.
Choose very liquid stocks
The Spanish Stock Market traded a total of 34.680 million euros in equities in March, 7,2% more than in February and 29,6% less than the same month the previous year. The number of trades grew by 12,5% compared to February, to 3,1 million, 17,8% less than in March 2018. But these days, do not doubt that the trading volume will drop substantially and in very significant levels. In order to avoid any kind of surprises When you return from your Easter holidays, there is nothing better than contracting very liquid securities that you can sell without any problem if things have gone wrong these days.
In addition, you can not forget that a very liquid value will help you to better adjust the price of its sale. So, you will make the operation more profitable through this special investment strategy. Perhaps, for any circumstance do you need some liquidity next week and you won't have time to search for the best market price. You should not tempt your luck if you ultimately decide to invest your savings at this time of year. If not, you should be much more cautious in the decision you are going to make these days of the year.
Opt for short term deposit
On the contrary, the fixed income market maintained a high level of activity. The total volume accumulated in the first three months of the year grew by 88,9%, after registering a negotiation of 38.632 million euros in the month of March, 109,9% higher than the same month of 2018. In this sense, you can face this investment under a fixed-term bank tax of a very few days duration. Between 4 and 7 days You have many products with these characteristics and with the additional advantage that you can even formalize them online. Comfortably from home or from the place of your vacation this Easter.
In any case, you will find a very low return as a result of the cheaper price of money in the euro zone. Which is right now at levels very close to 0%. This in practice means that your returns to savings will be very poor, but at least you will get to have the money safe and with a small return that you can get at this time of year. Total for keeping them these days that you are going to spend a vacation with your loved ones. It is, therefore, a very conservative strategy but one that will allow you to spend these days quietly.
Permanently traded funds
In the Exchange Traded Funds segment, popularly known as ETFs, a total of 137,8 million euros were traded, 8,7% more than in February and 38,6% less than in March 2018. The number of negotiations was of 5.381, which implies an increase of 16,3% compared to the previous month and a decrease of 34,2% compared to March 2018. It constitutes another alternative for these days if your initial idea is extend the term of stay of investments. With the advantage of being able to opt for both the fixed income and equity markets. Or even from alternative models that you had never counted on to obtain a return on savings.
It may be time to carry out this strategy in more aggressive investing. Being a product, exchange-traded funds, which is a mix between buying and selling shares on the stock market and mutual funds. But in any of the cases, with much more competitive commissions than in these financial products. While on the contrary, it will offer you the opportunity to address financial markets still unexplored on your part. Even if you have to keep it in your wallet for many more days.
Limitation on financial derivatives
Despite the fact that the financial derivatives market increased trading by 2,7% in the first quarter of the year compared to the same period of 2018, it is not the best model for you to hire precisely in these days of spring. Not surprisingly, they carry an excessive risk that you cannot afford this week of vacation. Just under very specific operations and that you can control from now on. Do not forget that you can lose a good part of the money invested. You will already have other times of the year to formalize a product of these characteristics, but not at this precise moment.
In addition, it will be an unnecessary risk so that in these days of recreation and leisure you can be much more aware of the evolution of these positions in the financial markets. To the point that you will come to the conclusion that it is not worth exposing yourself in this way to what financial derivatives are. It is not the most opportune time to take or open positions through investment models with as much risk as these. You will already have other times of the year to formalize a product of these characteristics, but not at this precise moment.