Make money out of the crisis and 10 tips to save our savings is the title of a book of 240 pages written by Sperling & Kupfer, well known journalists who have always been excellent in providing financial information accessible to non experts. We recommend this book to all those who want to become a bit more confident at the self management of their savings without falling into two easy mistakes. Superficial trust for the advice of friends or consultants with small goals or give up altogether in getting involved and blaming the banks and speculators that rage on the market.
Being able to make a profit with the savings is not easy but not impossible. It requires information attention and perseverance but it can be achieved even in times of economic depression like the one we are experiencing. The recipes can not be simplistic and one must always remember that the retail investor activity are quite different from those by day traders who play the stock market.
The book unfolds on two levels. One is for the types of users and financial products. It identifies eleven possible profiles of investors based on parameters such as age, employment and capital stock. Then you go through the financial products available. Deposit accounts, government bonds, mutual funds, ETFs, stocks, bonds and insurance policies, also taking into account the different currencies in which you can invest. By combining the two types of information you will find out more and apply principles such as that for the very young profiles with a whole life ahead of them so you can dare to invest heavily in stocks. At the same time, for retirees foresight it is better to reserve a large part of the portfolio in bonds with higher rated securities that can be sold quickly in case of emergencies.