Seven mistakes when investing money

Doing fund savings right

Savings accounts are currently in the same situation as the ice in the Arctic. It is melting incessantly and ever faster. Money in savings books is currently devaluing at a record rate, as never before in the last 30 years.

 
According to the Federal Statistical Office, the inflation rate in January 2022 is 4.9%. That is, only if your savings yields over 4.9%, it is at all in the plus and devalues no longer.  Around 20,5% the consumer prices rose with the topic energy and 5,0% with the food.
 

That is why there is no alternative to fund saving. In the main, we see the following ways for value-oriented customers:
 
1. Direct investment in managed, open-end funds
selected ETF that are index oriented
Asset management that invests in open-end funds
 
2. There are many ways to choose a partner, such as from GELDPILOT24 §34-F-1, banks, directly with the fund company, a sales representative. Or to invest online yourself, for example to work with a neobroker like Traderepublic.
 
3. Everything has its advantages or disadvantages. You think, maybe the way with an ETF neobroker is the investment with the best return? According to FAZ, despite the highest bull market, there "only" came to an annual average value growth of 7.1% in the period under consideration.
 

In the future, the volatility of the markets is likely to increase sharply. The time of the eternally rising market is possibly for the time being past. This makes it more important to avoid mistakes now.
 

What mistakes should you avoid? How should you do it right?
 

1. Look for partners or platforms with a limited range of funds or ETF. If a distributor or platform is "tied" to certain providers, you may find this rather less than optimal for the custo

2. Accept issue surcharges of up to 5%. Often this happens because customers do not know any better. With, for example, 20,000 € investment is then first of all 1,000 € away and with each further exchange, the balance is reduced by the same costs. There are modern alternatives (such as GELDPILOT24 and others) where no issue surcharges are incurred.

3.Portfolio commissions reach with funds up to 2% in the year what your credit annually abschmilzt. Also here one can look for partners, who as far as it is possible, do without these fees and/or these as Kickback to the customer to let refund. 

4.Your advisor still has a bad opinion about ETFs? Quite often the background is that many providers do not receive any commission when brokering ETF's. Why would he then think ETF's are good? Solution: simply ask how ETF is paid.

5.In addition to ETF as a low-cost option, there are also managed funds as so-called "cleanshares". These were previously only available for large customers. Also a considerably more favorable variant for the customer. This variant is also more favorable for tax purposes than kickback reimbursements.

6.Commission via issue surcharges as remuneration in the investment sector should be viewed critically. The intermediary earns considerable sums when the sums are changed and not for a quieter variant without a lot of costly back and forth. Optimal is from our view to agree with the mediator a service fee or fee on the credit, for which the mediator waives all commissions and portfolio commissions. Then any change is also possible without additional costs. Customer and your intermediary like GELDPILOT24 have the same interest, the increase of your credit by yield.

7.Asset management in funds allows the customer to have the basis of his portfolio managed by professionals. In case of adjustments of the depot structure, this has the advantage that the intermediary and the customer can react fast and easy without regulation. For the customer no expenditure and the mediator uses and observes for you the market and the asset management selected by him. GELDPILOT24 recommends at present mostly SELECTOR capital.

The car is itself partner of the Startup GELDPILOT24. Recommendations can only be made after examining the individual situation.