Outbreak of coronavirus has led to instability throughout the world. After the fall in oil prices and depreciated tenge. The question arises, how to protect savings, and ideally increase? We interviewed the experts.
To risk or to hedge?
So, Zhanybek, Again, economist and Director of the AERC, said that keeping money is better in us dollars as world currency.
— Now, many financial instruments fall in price, everything changes. Fell and the gold is a protective asset. The world first encountered such a pandemic, even a “Spanish” one hundred years ago covered the whole world, — said the economist.
Tamerlan Absalamov, the analyst of “freedom Finance”, offers a different approach.
— First and foremost you need to think about diversifying your portfolio. It should consist of Treasury and corporate bonds and shares of companies large capitalization with a ratio of 30/70 by a margin in favor of the stock. Bonds will reduce risk and shares in the portfolio in the event of a recovery of the market will provide the profit — says the analyst.
Is it worth to invest in gold?
As for gold, according to Absalyamova, it is easiest to buy it through various ETF on the exchange through brokerage account.
— At some point, gold may be a hedge against inflation and because it is a solid asset in times of crisis and correction, investors often seek to buy this precious metal. But it is worth noting that
as an investment asset, gold does not look quite attractive, as it depends on the dollar and has a low yield,
— he considers.
Meanwhile, the economist Arman Baiganov believes that a further fall in the stock markets ahead. As the crisis intensified.
— You need to gradually buy shares of airlines and companies in the hospitality business. Now they have dropped in price, but after the completion of the pandemic will rise again.
Same thing with the oil companies — their shares in the second half of 2020 will also grow in value, like oil. To 40 dollars per barrel for sure.
Gold and gold stocks rise, too. Moreover, shares of these companies, the volatility can be twice that of physical gold
Whether to keep in tenge?
If you do not have a brokerage account, you can choose the passive investment option. Now the base rate is raised, in some banks the rate on tenge deposits reach 14%. But in the future the basic rate will fall, respectively, will be cheaper and deposits in banks.
I don’t think that the tenge will fall, and with rising oil prices, maybe even a little stronger
As for dollar deposits, it’s not exactly a profitable investment, besides, now in the American economy has poured a lot of money, so the dollar could also devalue a bit. Of currency more or less strong will be the Japanese yen Japan has a strong economy, and the country has also almost won a coronavirus. Who has enough cash, now you can invest in real estate. In the future the prices will drop, and there will be “hot” options — says Baiganov.
There is nothing more reliable than the dollar and the Euro
Economist Aset Nauryzbaev, in turn, believes that the concept of “save” assets and “play” need to share.
Play a lot where you can, but there is a risk of losing money. I have always said that in our economy money stored in us dollars and Euro should in the long run and in the short — KZT.
Today dropped in price Yes,the same US Treasury bonds, because so much was desantirovanie,
what can we say about the action. So if you have the means and willingness to take risks, take risks. But if the goal is to keep accumulating, keep them in a safe cache — concludes the economist.