Investments for beginners: how to take the first steps to invest in the Stock Market and the keys to save better

In a country with recurring economic crises and high inflation that erodes the purchasing power of pesos -it rose to 52.5% in the last year and 37% since January, according to Indec- it means that wage earners and self-employed who have the possibility of saving look for investment alternatives to beat the devaluation of the local currency. In that sense, One possibility is to invest in the Stock Market in search of returns that allow savings to be preserved and even increased according to the profile of each person.

However, not all savers are experienced in the world of finance and therefore should be advised and learn to invest since there are also risks when doing so. In this context, Infobae consulted specialists on how to take the first steps to open an account at a stockbroker – it can also be done at a private or public bank – and start operating easily.

How and where to start investing

In order to buy or sell shares or other public or private securities in the capital market, it is necessary to go to a trading and/or settlement agent , registered with the National Securities Commission (CNV) , who acts as an intermediary.

Agents must have a membership in a market that is also registered, authorized and regulated by the CNV, according to the Buenos Aires Stock Exchange .

To buy shares or invest in other instruments such as a Common Investment Fund (FCI), investors must first open a principal account at an agent or bank and from there they can start sending purchase and sale orders, at the same time that the operators execute the orders of their clients in one of the systems enabled for trading.

In order to open an account with a broker, you must be of legal age, have a bank account in pesos or dollars in the name of the person who is going to operate, and register with the agency with your personal data. In case of being a Virtual Wallet it is also possible to fund the investment account. Once the money has been credited, the first investment can be made within market hours.

Variable income and fixed income

The capital market offers the possibility of accessing multiple investment alternatives for different risk profiles and classes of investors. The wide range of instruments available can be distinguished between equities, fixed income and derivatives.

- Variable income: are those instruments in which at the time of the initial investment the funds that will be obtained in exchange at the end of the investment are unknown, since they will depend on the evolution of the company, its market price and the economic and financial context, among others. other factors. Some examples of this class of instruments are shares.

- Fixed rent: it is an investment in which the terms and conditions of the issue are known from the beginning. That is, at the time of acquiring the title, the investor knows the dates on which the capital will be returned, what interest will be paid on the nominal value and when the investment cycle will end. Examples of this class of instruments are bonds, public and private. When they rise in price they lose real income but gain capital and vice versa, when they fall the rent increases but the principal is reduced.

“The minimum necessary to start investing is to know how to get advice and understand what to look at. For everything there are instructions and advice. Many brokerage houses generate portfolios for clients. They are models that work and that are adjusted. There are recommendations, short and long term, to invest in Argentina or in the United States, with different profiles, both conservative and aggressive or moderate, " José Bano , research manager at AOL Inversiónronline, told Infobae.

And he added: “Each investor must define his objective. Since it is about saving issues, then it is aimed at the short or long term. It could be someone who saves four months for summer vacation or much longer for retirement. You are also going to choose your enemy: inflation or the dollar, which are the two things that eat savings. If I have pesos and I leave them in the savings account, those two things make them worth less and less. So you have to beat the dollar or inflation or ideally both ”.

How much money can you start investing with?

Many brokers do not ask for a minimum to invest. In that sense, there are Common Investment Funds that allow you to enter with $100 or those that are in dollars ask for a minimum of USD 5, in order to begin to familiarize yourself with the market.

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To start trading on the Stock Market "there is no minimum amount, however, starting at $20,000 it is possible to diversify through the Common Funds and some individualized product such as Cedears or local shares, in the case of the most conservative they can be Negotiable Obligations", told Infobae Ramiro Marra , director of Bull Market.

“What is decisive is to begin to live your experience in the Stock Market and understand that we must think in percentages and not in values. If one earns 10%, that percentage is applicable in the same way to $20,000 as to $20 million , of course the profit in absolute values ​​is different, but it means that your strategy and investment decision would apply the same regardless of the amount”, he highlighted.

Investor profiles

The profiles of each investor are practically three: conservative; moderate and aggressive . “These are the three general profiles, of course there are grays such as moderately conservative or moderately aggressive”, explained Marra.

“This defines it, the time you want to invest in the Stock Market, the percentage of your savings that you dedicate to this, your experience, the type of investment products that you are interested in using and your risk tolerance that you want to assume with your investments”, expanded the ideal in markets.

In order to account for the type of profile that a person has, brokers or brokers offer an "Investor Test" on their portals that allows, through a series of questions, to determine which one belongs to each of them.

“ The conservative seeks to maintain the purchasing power of his savings from him. He is not looking for great returns but wants not to lose purchasing power or against inflation. On the other hand, the aggressive wants to put money to work, he has no problem with volatility and losing at some point because he aims to win a lot in the long term. And the moderate is in the middle point”, deepened Bano.

What are the recommended instruments to take the first steps

According to Marra, the best way to have a first experience in the Stock Market is through Mutual Investment Funds and making a placement bond . Another way to get started, according to the expert, is through a small amount of local actions to experience the negotiation stage (purchase) and the fluctuation of asset prices.

For Ariel Sbdar , from Cocos Capital, the Cedears are a good entry point. “ Buying shares in pesos of companies listed on the United States Stock Exchange such as Apple or Microsoft is very simple and nice to start with,” he considered.

The Cedear are equivalent to shares of companies listed in the United States and that can be operated with a local investment account in pesos or dollars . Among the best known are Apple, Microsoft, Coca-Cola, Netlfix and Amazon.

“There are some investors who are dedicated to buying and selling shares every day, others who come to the stock market as a way to protect their long-term savings in local companies or from anywhere in the world, there are assets for all types of investors ”, Said Sacar to this medium.

Meanwhile, Bano stated that the most usual thing when starting to invest is to do it in Mutual Funds. “ In general it is very simple and they have several advantages. One is that it is easy to operate. The second has to do with the fact that there is no permanence time limit, so when you need the money, you can redeem it . It is also a collective vehicle that is already investing in many things and is managed by a professional who is looking for the best possible performance”.

Lastly, and with respect to commissions, each Brokerage House has its own scheme. Many do not charge maintenance or account opening, while the cost per amount operated has a maximum of 0.5% . For example, if assets are purchased for $10,000, a commission of $50 is paid. However, there are agents that do not charge commission for operating.

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