You have decided to invest your money or build up assets but you don’t know where to start or how to go about it? Then you’ve come to the right place! The Mon Petit Placement Academy will support you in your first steps as an investor and guide you to make the best investments that are most in line with your expectations. Spoiler alert: real estate is not the only solution!
Discover here we answer all the questions you ask yourself about why, where and how to (well) invest your money. Of course, some advice is included in our copy, for your greatest pleasure.
Before even talking to you about financial investments , let’s start by breaking down all the stereotypes that may be preventing you from investing your money.
Amon the most well-known preconceived ideas:
You have to be wealthy with a good heritage to invest your money : for a very long time, certain investments were in fact offered and accessible only to a certain clientele of investors, in particular those of Banque Privée. Thanks to certain services such as Mon Petit Placement, these portfolios of financial products with particularly interesting returns are now within the reach of any investor.
A large capital contribution is necessary : this idea goes hand in hand with the previous one. Through traditional players, the entry ticket to the markets can quickly amount to a few thousand euros (For example, a minimum contribution of €5,000 is required for an investment in Private Equity). Rules that have changed. Today you can invest your money from just €300.
The most interesting investment is real estate : a real estate purchase is a very good investment which, except for exceptional causes, should not lose value. It is a type of investment among others which can also present many advantages such as life insurance for example. Don’t forget, a good investor is one who diversifies his investments. A concept that we will explain to you a little further down.
There are high risks of losing your money : Unlike a savings account, an investment is indeed riskier. The markets are made of ups and downs but as they say, as long as you have not withdrawn from the game, you have neither won nor lost! The more you maintain your investment strategy over time, the less risk you take of losing your capital.
The stock market requires almost daily management : trading is an activity that can take a lot of time when you decide to go it alone. This is why today many services support you to make your money work without you even noticing. A management method that in addition to saving time, allows you to sleep peacefully on both ears.
Why invest your money?
Let’s start with the basics: investing means putting money into the markets to help businesses develop and benefit from their performance in the long term . A win-win approach.
Unlike traditional savings, which serve more as a spare wheel in case of unforeseen events, investing is a way to meet your life goals, such as making your money grow , building up your assets, carrying out a project, giving meaning to your savings or even earning additional income.
If you are still looking for good reasons to invest your money , here are 4 that you will surely recognize:
Invest to boost your savings
The French are the kings of savings. In 2020, driven by the health crisis, the Livret A savings account achieved a record collection score of 325 billion euros.
While these savings vehicles are perfect for putting savings aside, they are still products with very low interest rates (aka the Livret A…) and therefore not very profitable. By leaving your money dormant, faced withinflation, you end up losing purchasing power over the years.
Illustration by a concrete example: Today, with €200, you can buy 150 liters of gasoline. If you leave these €200 in your savings account, next year, you will only be able to buy 149 liters with the amount you will have in your savings account because the cost of gasoline will have increased, not the amount in your savings account…
Invest to take charge of your destiny
By investing your money you can achieve many personal and/or professional goals. With your investment you can achieve all your plans: build your retirement, assets or a contribution for a property purchase or finance the studies of your (future) children.
Clearly defining your goals is the foundation of your investment strategy. Your needs and desires will be essential in determining the investment that is right for you.
Thanks to thematic portfolios driven by environmental, social and governance criteria, you can give meaning to your investment.
With them, you participate at your level in the climate, health, employment, equality or even technological innovations.
In addition to being in line with your aspirations, these funds are also very efficient . One more way to align your interests as an investor with those of a global cause.
