Many investors try to have a personal view of the markets and choose to invest when there are low valuations after critical events in the global economy. However, this investment philosophy ends up having small or even negative returns in the long run as investors are not able to properly assess the outcome of the new financial reality so that even when there is a sharp decline in shares, investors do not take advantage of it due to great fear.
As a result, when normality has returned and stocks (or other securities) have reached higher levels again, investors are either investing a very small percentage of the total available-for-investment funds or looking for opportunities in underperforming sectors. However, sectors that have achieved lower returns does not mean that they will be the ones to have the best returns in the future. Because it is obvious that when a sector underperforms, it means that large investment funds are not invested in it.
Furthermore, an investor may not be able to detect the big trends of the future and the business cycle, resulting in being caught in the wrong investment trail.
In XSpot Wealth, our investment portfolios not only cater for various investment risk levels of our clients, but also focus on those sectors that are expected to record the highest returns. At the same time, portfolios are monitored by experienced professionals who can identify the current situation and restructure the composition of the portfolios, following the best trends.
Different profiles of investment portfolios provided by XSpot Wealth, enables investors to be continuously invested and to be able to take advantage of all the returns offered by the markets for each level of risk. Even a conservative investor has more low-risk options than he knows.
The cost of fund maintenance in zero or negative return products or even worse the long- term cost of holding inappropriate investment products, is huge. Because in the modern age we are living in, the fund protection can be accompanied by a satisfying return that allows a long-term increase in invested capital.
Set an investment goal, find the appropriate investment plan and stay attached to it
2020 is a significant year for investors. Because it proved how greatly can an accomplished fund manager contribute to the long-term value of a portfolio. With 2021 on the threshold, investors should be prepared to take in their hands the future of their funds. The basic equation always starts with how much money I have to invest and what monthly cash flows will I have. At XSpot Wealth, we are ready to help you answer these questions. The answer is through the appropriate investment portfolio.
A proper long- term investment plan built today is a reflection of the future result. Given the economic circumstances and the business cycle, a portfolio should have exposure to stocks and high-income securities. Obviously in a percentage that is applicable to the client’s profile, but it must definitely exist.
It is difficult for someone to realize it, but the returns achieved with the right investment choices are great. Of course, all you need is to invest in the largest stock markets of the world and to take advantage of the investment tools they offer you. But most of all, to be able to feel the security that big stock markets provide you. With all this in mind, the US stock market has been offering an average annual return of 8% over the last 20 years. Even if only 20% of the available funds had been invested in such a market, it would have performed much better than the remaining 80% of the funds placed elsewhere.