For savers: what to invest $50,000 in today?

At the beginning of a new year and with limited investment opportunities due to negative rates paid by the fixed term traditional, the importance of making sound financial decisions becomes fundamental for those seeking to cement their economic stability with a longer view. Above all, for those small investors and saverswho have less back to face a high level of risk and wonder:What to invest a capital of $50,000 inFor example?

Especially in 2024, with a very complex context and high inflation, Investment stands as a crucial pillar in the daily economy of the Argentines. And, more than ever, explore Different alternatives It becomes an essential way to make our savings grow effectively.

Currently, the panorama offers a wide range of options designed for various investor profiles, even for those who do not have large capital. And, in that context, the analysts consulted by Ambit They point out which are the best and also the most profitable options that the market sees for this year.

Investments in expert key

From the Center for Economic Studies Argentina XXI They pointed out that the best option is hard dollar sovereign bonds. This is because they are at parity of 38%, “with a government that carries out a adjustment program to reach fiscal balance” and, furthermore, they indicate that “it has the money to pay the interest next week”due to its profitability, while other bonds that are in default and have 10% less IRR.

The proposed strategy is designed to investors with a moderate/aggressive risk profile, that seek to make profits, while considering significant macroeconomic factors, such as the high inflation and possible gradual devaluation, through a crawling peg (rhythm of daily microdevaluations), which is now 2% monthly, but could be accelerated to avoid delays in the economy.

The main recommendation, in a context of little growth in activity, “focuses on diversifying the investment portfolio to protect and increase assets, adapting to opportunities and adjusting positions, as market expectations change,” he maintains. Mariano Meza, Jr. Research Analyst at Liebre Capital, who adds that, in the local fixed incomehard currency securities, such as GD35 and GD30 sovereigns, are optimal due to its potential to capture value and offer attractive cash flow in hard currency, which outperforms equities, stocks.

In response to inflation, Meza mentions that A good option is to bet on instruments indexed by CERalthough the difficulty of finding short-term assets in that segment is recognized and recommends, in that sense, diversify with securities of different durations.

On the other hand, “for those investors looking for flexibility, the FCI Gainvest Capital IIfor example, which offers protection against inflation and devaluation“says Meza. Common Investment Funds are always a good option for the less experienced investor, who does not want to build their own portfolio (or is not sure how to do it). And they are an instrument that is managed and made up of an expert team and guarantees better investment management than someone who doesn’t know as much about investments.

From Balanz Capital, Nicolas CarrerasFinancial Advisor Wealth Management, also suggests those conservative to moderate investors invest in assets that adjust for inflation given the sharp rise in prices that has occurred in the last month as a result of the devaluation implemented by the Government (which was 54%).

In that sense, he mentions as an interesting option going to the Balanz Institutional Fund, for those seeking more exposure in public securities, and the Balanz Performance III Fund, for those who wish to achieve a mix with corporate or private instruments also tied to the exchange rate.

Cedears: another good option

On the other hand, for those seeking to invest in foreign companies and avoid the Argentine riskCarreras points out that “they can choose to bet on the CEDEARs of technology companies, such as Microsoft (MSFT), which despite its dominance has been growing in the development of artificial intelligence, or IBM (IBM), which is exploring the development of quantum computing”.

Another option mentioned is General Electric (GE), which was recently named by Bank of America as a manufacturing company to take into account in 2024, due to the growth in its expected profits from the industrial sector. Also Intel (INTC) has improved the quality of its balance sheets in recent quarters, due to the change in the structure of its management (Management), Carreras adds.

It must also be taken into account that, this week, financial dollars became overheated, within which the CCL is very tied to the dynamics of the cedars, and they climbed about 20%. As said, “these movements are very well captured by these instruments”, which allow investing in pesos in shares of companies abroad and that are quoted in dollars, adds Meza in line with what Carreras stated.

This also occurs in an international context in which it is expected that, due to the positions that will be taken on interest rates, 2024 will be favorable for international equities. And, having said that, Meza indicates that “we select the Berkshire Hathaway cedaran investment bank managed by the legendary Warren Buffett, with an impressive track record, adding value to its shareholders year after year, as an interesting option, since its main focus in asset selection is Value Investing.”

Explain what This cedar works like an ETF and provides a great advantage over others with a minimum investment of $18,000 Argentine Pesos.

The keys to investing with $50,000

All this, always starting from $50,000which is a small capital, but which allows the diversification, since, as Meza well remembers, “it is essential to diversify the investment portfolio, in such a way that it protects us and enhances our assets.”

However, it also focuses on the inverter adaptability because it maintains that opportunities will come and we can rebalance positions as expectations change or are met. “The market always gives us opportunities,” says Meza.