Krasnodar, 5 June – Yug Times. The current financial market offers a number of tools aimed to give a guaranteed feedback and save the invested money.
In opinion of many people, investment in realty is the only trustworthy way to save the accumulated wealth. In a residential neighbourhood in Krasnodar, an average flat costs 1.7 million roubles, and it may be let at 12,000 roubles a month. Hence the profitability is 8.4%, which roughly equals to the level of financial feedback given by long-term bank deposits. However, in case of a flat rental taxes, natural wear and tear, and maintenance will reduce the profitability by 30% on the average.
Therefore, the most popular tool Russian people use to save and augment their capital is bank deposits. They reportedly make up 75% of all investments of physical persons. Currently, the basic profitability level for up to a year-long deposits in roubles is 8% per annum.
Presently, every Russian citizen has 1.84 bank cards. As for debit cards, a number of banks offer accounts with interest accrual on the account balance – up to 6% per annum, which is a little bit less than in case of a longterm deposit, but the advantage is that the account owners can freely and without any losses dispose of their account.
Banks also widely offer cards with a cash-back service. In this case, the interest may be the same for all purchases (usually amounting to 1 – 1.5%), or the payments may be effected differentially – say, 5% from purchases at filling stations, 2.5% from purchases in cafes and restaurants, and 0.5% elsewhere.
Traditionally, public bonds are considered to be conservative tools that guarantee practically 100% safekeeping of the capital. The government needs money and issues public bonds, then it sells them to investors and guarantees payback of a certain amount, for instance, annually – the so-called coupon profit. At the end of the term the government will pay the investors the full amount of the bond, thereby retiring them and fully fulfilling its obligations. Averagely, the profitability of a bond amounts to 8.1%.
Individual investment accounts are a relatively new financial tool developed to attract the population to the financial markets. They work as follows. A client opens such account with a broker, puts there, say, 400,000 roubles, and in the following year is entitled for a tax deduction (on personal income tax) of 13% of the sum. Within three years, the amount of the deducted tax will be 156,000 roubles.
Another type of the individual investment account provides full exemption of the personal income tax from transactions performed with this investment account. It will pay if you are an active financial player.
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