Question of the day: how to get a cent more than Bank Deposit

Question of the day: how to get a cent more than Bank Deposit

Vasily Voronin, the user “Vkontakte”:

How to get a cent more than Bank Deposit?

Anton Grabarov, Director of customer service “BCS Premier”:

The question is quite relevant, as the current rates of Bank deposits are often not allowed even to compensate for inflation, not to mention the increase of funds. In order to obtain a greater return recommend investment in financial products. But while selecting them you need to act reasonably and cautiously.

The first step is to clearly understand your goal, what amount, in what currency and for how long you want to invest. The second step is to determine to what degree of risk you are willing to achieve his goal (a General rule: the higher the yield, the higher the risk). The third step is to choose a specific set of tools at his target. There is a large selection of instruments (bonds, stocks, structured products, etc.), and to find for himself the most appropriate solution, it is better to consult a professional financial Advisor.

It is important to note that in recent time the state places great emphasis on the development of the financial market and offers private investors various tax benefits. In particular, when investing through an individual investment account (IIA) in addition to the investor result from the investment receives a tax deduction at the rate of 13%. Individual investment account can be purchased, for example, bonds reliable state-owned banks, the yield on which may exceed the yield on deposits of the same banks. Combined with the tax deduction this will provide a significant boost to returns compared to Deposit with comparable risks.

For example, bond Gazprombank with maturity in September 2017 currently gives a yield of 11.28 per cent per annum (these are changed daily at the end of trading on the exchange), while the rate under annual deposits in the same Bank is 8.8%. Thus, by investing 400,000 rubles in bonds through the IMS client for the first year will earn about 45 000 rbl. of the income on bonds and 52 000 rubles as a tax deduction. The final yield for the year will be 97 000 rbl., that is 24.2 per cent.

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