Personal finance: How to grow your savings this 2023?

Start the year with greater economic liquidity and debt free It is one of the objectives that thousands of Peruvians set themselves year after year. However, the political, economic and social situation may cause this objective to vary according to the reality of each Peruvian family. And it is that the marches and protests that take place in different parts of the country begin to affect the economy of thousands of Peruvians, especially those who have a lower income, have a informal employment and that they depend a lot on the day to day. Faced with this situation, investment specialists from the insurer Vivir Seguros provide tips so that more Peruvians can save adequately this 2023.

“Economic crises at home are always very hard, and if they coincide with a political-social crisis, things can get considerably worse. That is why it is important to plan the home economy when one has surpluses and when the economy is more stable, since we can evaluate reducing expenses and anticipate our expectations”explained Fernando Menéndez, Investment Manager of Vivir Seguros.

Given the local situation, the investment executive explains what is the best way to get the most out of savings by safely investing in financial products from solid companies and with the support of the SBS.

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How to save effectively in 2023

According to Menéndez, many families start saving thinking about current accounts, bonds, stocks, however, one must first set an objective before making any decision.

“The habit of saving begins by recognizing the objectives that one must have, for example, saving based on objectives such as retirement, purchase of a property, a car, travel, health fund, among others. It is always important to have spending discipline and long-term lifestyle expectation to start with low savings and increase as one progresses and progressively earn more money. Finally, many people choose to save with a “stash” at home, however, this modality is not very safe due to the exposure of the money to third parties and fortuitous situations.he commented.

Despite the fact that this year the Peruvian economy is expected to grow less than in previous years, there are still simple mechanisms such as Renta Max and Fondos Max de Vivir Seguros, which allow investors to see their money grow with minimal risk on a monthly basis, generating that long-awaited financial cushion that hundreds of families need.

Menendez specified that one way to get the most out of this extra money is to invest it, but safely in financial products from solid, backed companies.

The best way to take advantage of the extra income is by investing it in funds.

In the case of contributors who are interested in ensuring long-term profitability, there is an investment modality called Renta Max where interested persons will be able to see a return on their investment in 7 or 10 years. Investors may receive a fixed monthly payment that is determined by a long-term rate. It is ideal for contributors up to 50 years of age, as they will have more time to grow their money.

“This option is very interesting because it guarantees a monthly pension for 7-10 years, with an interest rate proportional to the investment amount. As one has a larger fund, the rate goes up because certain operating efficiencies are generated and the client will have a higher return. It is recommended that you invest from 40 thousand soles upwards“, accurate.

Likewise, for investors who wish to invest abroad and diversify their savings, there are Max Funds. This service allows investing in foreign markets, there is this option, which works as an investment tool with which the investor can see his capital grow in the most developed markets in the world, according to the risk profile he chooses: moderate , conservative and sophisticated.

In times of political instability, it is necessary to know how to save.

“Through this unique product, Peruvians can invest in the most important stock markets in the United States and Europe. The profitability will depend on the chosen portfolio. For example, in the case of the Moderate profile, the expected annual rate is 5%, in the case of the Conservative profile, the expected annual return is 6%, and in the case of the Sophisticated profile, where there is greater risk, the return may be greater than 7 %. The most important thing is that there is no minimum stay time, so that people can withdraw all their money when they need it”, Menendez detailed.

Finally, the specialist indicates that today there are many options to generate savings funds, but it is vital to remember the importance of choosing entities regulated by the Superintendence of Banking, Insurance and AFP (SBS), which guarantees the transparency and solvency of the institutions that They are part of the financial system in Peru. Likewise, he recommended that all people interested in saving or investing their money seek advice from specialists in the sector so that they can have the best results in the medium and long term.