Savings are a certain amount of a person’s financial reserves intended to satisfy various needs in the future (in the future). Being the happy owner of an nth amount of money that is not intended for current needs, many are wondering how best to store their savings this year. The years of crisis for the Russian economy make potential investors, both small and large, wary.

What should you invest your accumulated funds in in 2016:

1. Store at home (under your pillow, in a safe or... in a stocking). Having the only advantage - the owner’s quick and trouble-free access to his “wealth”, savings stored at home can be stolen and devalued. Do not forget about the lack of profitability and depreciation of financial resources under the influence of inflationary processes. Therefore, the “home” option is the worst of the existing ones.
   
2. Bank cells. If you are concerned about the safety of your savings at home, rent a safe deposit box. This method is convenient for those who, planning to make a large purchase in the near future, have withdrawn cash from their account. The disadvantages of long-term storage of money include the effect of inflation on the value of money over time. Therefore, safe deposit boxes are an excellent option for storing material assets - gold, jewelry, securities.
   
3. Purchasing currency. Sharp fluctuations in the exchange rate of the national currency - the ruble, economic and political instability of the Russian Federation in the international market, and inflationary processes cause distrust on the part of investors. Experienced financiers advise limiting the amount of savings depending on the purpose of the deposit.

   If you are planning to buy an apartment in Bulgaria or send your child to study in England (even in the distant future), invest part of your savings in euros or pounds sterling. If you want to relax in Sochi, ruble savings are suitable for you. The most optimal option for a foreign exchange portfolio is a multicurrency deposit with the distribution of resources among 3-5 types of the most stable currencies in the world.
   

4. Deposits. This type of passive income is one of the most popular in the world. The yield on deposits in foreign currency averages 2-4%, while ruble deposits will bring the owner up to 10% per annum. What problems might arise from this? The high profitability promised by individual banks entails increased risks in the form of insufficiently high capitalization of the banking institution and deposit guarantee. Reliable financial market players offer lower interest rates on deposits, covering inflationary losses and having low profitability.
   
5. Precious metals. Investments in gold bars will ensure the safety of your savings, but you should not count on quickly receiving income from them. The payback period for such investments is from 10 years.
6. Investments in government bonds. Individuals, i.e. You and I do not have the opportunity to directly participate in the activities of the securities market. To enter the stock exchange, you will need considerable savings - from $50,000 and a reliable intermediary in the person of a broker. In addition, forecasts for government bond yields for 2016 are not encouraging.
   
7. Investing in blue chips. This is the name given to shares of leading companies in Russia and the world. Successful investment projects in this area can bring double or even triple profits to the owner of financial resources. If you are willing to take a risk and have a little knowledge in this area, you should... find a smart, reputable management company.
8. Investments in real estate. The observed decline in demand in the real estate market in 2017 continues in the current year, 2016. This type of investment is one of the most promising in the current situation. Pay special attention to small one- and two-room apartments in new buildings: in a few years, the infrastructure of these areas will be in no way inferior to developed ones, and the liquidity of small-sized real estate is always higher than that of a large house or premises with 3-5 rooms.
   ​​​​​​​

The economic situation in Russia remains tense. In April 2016, the international rating agency Moody’s confirmed the country’s “junk” rating at Ba1.

The real incomes of Russians have fallen significantly. At the same time, pensions and salaries, at best, will be indexed by the target 4% per year (which is much lower than even the official inflation rate of 12.9%). The funded part of the pension has been frozen for four years.

Sberbank specialists compared the structure of monthly spending of cardholders in February 2014 and February 2016. It turned out that over two years the share of food in total expenses of Russians increased from 21% to 30%. And in rubles, the average grocery bill has risen in price by 2.5 times!

Over the same period, monthly expenses for car maintenance (by 80%), on repair and home goods (by 40%) and on communication services (by 25%) increased. At the same time, the share of spending on tourism and transport, clothing and footwear, as well as on recreation and entertainment has seriously decreased.

How not to lose money in such a situation? Let's analyze the most available options: real estate.

Bank deposit

Due to excess foreign exchange liquidity, deposit rates in dollars and euros fell sharply in the spring of 2016. On April 18, Sberbank reduced the yield on products in foreign currency to almost zero. Following Sberbank, four more banks reduced rates: Gazprombank, SMP Bank, VTB24 and Raiffeisenbank. Today, the maximum return on deposits in American currency does not exceed 2% per annum, in European currency - 1.3% per annum.

The “cut” also affected products in the national currency. In April, the average maximum yield on annual deposits of large banks fell to 9.18% per annum. In addition to Sberbank, rates were reduced by Rosselkhozbank, Promsvyazbank, Uralsib, Rosbank, Gazprombank and Bank of Moscow.

Note!

It is possible that the yield on ruble deposits will decline throughout 2016.

Interestingly, in the first quarter, Russians began to actively withdraw funds from bank accounts. According to the Central Bank, in the first three months of 2016, the volume of deposits decreased by 3%. Foreign currency deposits lost weight the most: by 9.7% in ruble terms. One of the reasons for the outflow of US dollars and euros from bank accounts could be rumors about a possible freeze of foreign currency assets. In such a situation, investors prefer to keep their savings in cash or transfer them to foreign assets.

However, keeping money at home is a sure way to lose it (in whole or in part), especially in 2016. Until deposit rates drop to zero, you can open a bank deposit for a minimum amount and a maximum period with the possibility of replenishment. This will make it possible to fix the rate for the next two to three years and form the necessary reserve capital.

In May, the most generous rates on deposits in rubles were offered by Russian Standard, B&N Bank, Sovcombank, Home Credit and Khanty-Mansiysk Bank. And products in American dollars and euros will help protect savings from devaluation. Forecasts for the ruble are still very ambiguous: from the strengthening of the national currency to 50 rubles per dollar to further weakening below 75 rubles.

Anonymized metal account

2016 is unlikely to be an “explosive” year for investment in gold. Yes, in the first fourteen weeks the price of the precious metal increased by 16%. For this resource, this was the most successful start to the year in the last 30 years.

However, until the end of 2016, experts do not expect gold prices to rise above $1,300. And according to Thomson Reuters analysts, in the coming months the price of the precious metal will completely fall below $1,200 per ounce. In 2016, the price of gold is influenced by two factors: the exchange rate of the US dollar against other currencies (inverse relationship) and demand for the precious metal in key Asian markets (direct relationship).

But in any case, compulsory medical insurance is the most convenient way to invest in precious metals and diversify your investments, and thereby save money. The investor does not need to pay VAT and worry about the safety of the bullion. And a couple of grams of gold, silver, platinum or palladium can be bought or sold to the bank at any time at the current price.

The income of the account holder ensures an increase in the price of gold and... devaluation of the national currency (an ounce of the precious metal is valued in US dollars). There is only one drawback to an impersonal metal account - it does not apply to it. And in the event of a bank bankruptcy, it will be difficult to return money from compulsory medical insurance.

Mutual funds

The mutual fund accumulates the funds of shareholders and buys a portfolio of assets with them. Let's say, the open-end mutual fund of shares "Sberbank - Consumer Sector" includes shares of such Russian companies as M.Video, Pyaterochka, Lenta, Magnit, Yandex and others. Over the past five years, the share price has increased by 80.5%, over the year - by 22%. At the end of May, you could buy a share of the Sberbank – Consumer Sector fund for 2,012 rubles.

Why do many people assess the Russian stock market as promising? Because in the first quarter of this year, oil prices rose from $27.5 per barrel to $40. And already in March, the MICEX index reached its highest level since the summer of 2008, breaking the psychological barrier of 1,900 points. And shares of individual companies (for example, Rosneft and Sberbank) even jumped to record levels in their entire history.

Which mutual funds to choose in 2016? Experts recommend paying attention to three areas:

— undervalued companies that are developing steadily even in a stagnating economy (Magnit, TMK, Cherkizovo Group);

— highly efficient companies with large potential market capacity (Yandex, Moscow Exchange);

— strategic companies with a low debt burden and high-quality management (Norilsk Nickel, LUKOIL).

You can also diversify investments in mutual funds with debt assets. Last year, currency bond funds showed good results due to the positive dynamics of the debt market and the growth of the dollar. “VTB – Eurobond Fund” grew by 69.74%, “RSHB – Currency Bonds” - by 61.71%. It is bond funds that today can safely be considered as an alternative to ruble deposits.

Real estate

Even in the unstable year of 2016, 65% of Russians consider real estate the most profitable and reliable financial investment. For comparison: in 2009, the percentage of “sympathizers” was only 40%.

Experts do not share this optimism. The value of such a low-liquid asset as real estate is subject to serious fluctuations. Today, housing prices in Russia, on average, have fallen to the level of 2000. According to irn.ru, the cost of a square meter in Moscow dropped from 21.5 thousand rubles (end of 2014) to 17.5 thousand rubles. And in American dollars, capital real estate fell in price by almost a third.

As a result, over the past year a record number of new properties at good prices have come onto the market. But investments in real estate should be considered only as long-term investments - in times of a weak economy, there are very few buyers with “real” money.

What should you not do during a crisis?

Keep savings at home

Survey results show that 27% of Russians still keep their savings at home. But any money (even the stable dollar and euro) “melts” over time due to inflation. In addition, cash in the house is an easy target for thieves. Well, of course, the more accessible the cash, the higher the temptation to spend it. After all, you often have to protect your savings not only from inflation and scammers, but also from yourself.

Buy unnecessary things

The worst thing you can do in a crisis is to spend all your cash on something unnecessary and material. At the end of 2014, Russians were massively buying cars, household appliances, and even food products with a long shelf life.

Of course, during a period of devaluation, money quickly loses its value. But even a “thinner” ruble/dollar/euro will be worth something. But exchanging a used car, TV, or even investment coins for money during a crisis will not be easy.

In the most difficult situation, people need funds to pay for food, medicine, clothing and utilities. And it is better to keep the reserve fund (in case of dismissal or health problems) in cash rather than in goods.

Keep funds in one currency

The easiest way to protect your money at least from currency risks is to distribute your savings between several currencies. After all, the depreciation of one of them (for example, the ruble) is compensated by the rise in price of the other (dollar and euro).

In 2016, a large share of the portfolio should be fixed in US dollars and euros. After all, in the long term, foreign currency is much more stable than national currency.

Some tips?

The answer to the question depends on the period and amount of capital. Small amounts for up to a year can be safely placed in a bank deposit (preferably in US dollars).

If the amount is not so large, and the investments are designed for the long term, take a closer look at Eurobonds of large Russian companies. On the Moscow Exchange you can easily buy them through a broker. With comparable credit risks, the yield on Eurobonds is higher than on deposits.

It is better to transfer a large amount to a professional manager. They will offer a wide range of strategies and instruments with good diversification.

In 2016, the main thing is to protect capital from depreciation. And a better way than competent diversification of assets has not yet been invented. In a crisis, preference should be given to conservative assets: foreign currency deposits, mutual funds of Eurobonds, real estate and “gold” compulsory medical insurance.

In the last few years, Russia has seen some crisis trends, and at the end of 2015 we felt the consequences of some political and economic actions of the state in our own pockets. Despite the relative stability of the current situation, the ruble is losing ground. What should ordinary Russian citizens do with money?

1 How to save money in a crisis situation?

When a country experiences a period of instability and the currency becomes extremely volatile, it is easy to understand the panic of citizens. Today, the problem of potentially uncontrolled inflation worries everyone. We are all afraid of a return to the nineties, when the ruble became cheaper every week, salaries were not paid, and social policy sank into obscurity. Such a scenario is unlikely, but, contrary to all the words of analysts, it is possible. In any case, such a situation should not be ruled out.

Don’t think that today only Russians are afraid of inflation and the economic crisis knocking on their doors. In Germany, there is an outflow of money from banks; people again prefer home-made money-boxes to the promises of merchants. Financiers are trying to reassure the Germans, but this apparently does not help much. In general, the desire to bury money in the garden has always been one of the national traits of German citizens.

Germany has one of the most stable economies in Europe, and even there there is relative instability.

There are several scenarios to follow when a financial crisis is looming. There is no need to rush headlong to banks, buy expensive equipment or buy currency on an industrial scale. You need to choose your own strategy and stick to it until the hard times in the national economy pass. Now you can be afraid of inflation, expecting that 2016 will bring only the worst, or hope for stabilization of the situation. Here are the analysts' recommended scenarios:

• Do nothing with deposits and accounts, wait out the storm;
• Convert savings into one type of foreign currency;
• Divide savings into several money masses and store them in different currencies;
• Storing money in gold or securities;

Storing money in the form of real estate.

Analysts are divided on whether the situation will stabilize or whether the chaos in the market will continue to create uncertainty. By and large, there is almost no difference between the strategies. Whatever form of storing money you choose, there is a situation in which you will find yourself in the red, and therefore more and more doubts are in the air. Will we avoid rising inflation in 2016? Will the dollar continue to grow by leaps and bounds? How to save money today and tomorrow?

Perhaps you should just invest and try to increase your savings? This option also looks very attractive. Investing may also be the best choice if the situation stabilizes in 2016, the value of the ruble returns to normal, and the crisis passes us by.

2 Where to store money - gold, currency, real estate?

You can try to save your money in several forms, and therefore the question “What to store your money in” deserves the excitement that it is now experiencing. Today everyone asks this question and tries to understand how to store money correctly. The most attractive options for storing funds are three main forms:

1. Currency (including national);
2. Gold and securities;
3. Real estate.

Let's consider each option from a security point of view and try to answer in what currency to store money, and where to store money for Russians this year. Slow but steady growth of the dollar is expected in 2016.

Due to the expected rise in inflation, the Russian ruble seems to be the least attractive of the currencies presented. People who want to maintain financial flexibility should turn their attention to the dollar and euro. These currencies have sufficient liquidity. Money supplies in dollars and euros can be easily sold at any price, even when there is a crisis in the country. Is it safe? Compared to other options, no.

On the other hand, conservatives would be better off buying the yuan. In 2016, Russia will implement several economic projects with its large Asian neighbor. China is not experiencing a serious increase in inflation, and therefore a negative amplitude in the price of the Chinese national currency is not expected.

This is likely the best way to protect your savings from financial instability. True, it is not yet possible to open an account in yuan in Russian banks, and therefore all the capital will simply end up as “dead weight” in the bank storage room. It’s unlikely to make money from cash yuan. In what currency should I keep my money? If you want to be prepared for changes, then it is better to store money in US dollars or euros; if you want more stability, then storing funds in yuan will be an excellent choice. It's relatively safe.

Real estate is always the best choice, but it must be remembered that apartments and land plots are not highly liquid. If the price of real estate rises, it will be difficult to sell it. Another significant drawback is the cost of real estate at the current time. It will be very difficult for the average Russian to simply buy an apartment or land in order to save money until better times - there simply won’t be enough of it.

How profitable is it to store money in gold? The value of any national currency depends on the volume of gold and foreign exchange reserves, so a gold bar will always be a universal measure of the value of money. Gold does look like a very attractive form of storing funds. It is possible that even during a crisis the price will be kept at an acceptable level.

When choosing the main form of storing money, you need to consider several factors:

• Liquidity;
• Required capital;
• The influence of inflation and economic conditions.

Liquidity can be considered one of the important factors. If, when the price of gold falls and the situation generally stabilizes, you are unable to cash out your certificate on time, you will remain at a loss. And not everyone wants to store money in gold - there are relatively many problems with purchasing precious metals. The situation is the same with real estate – it simply won’t be possible to sell it urgently. In this case, the initial capital will be required to be substantial, although the investments will be more reliable.

Currencies are heavily influenced by inflation rates in the respective countries and in Russia. However, you can quickly react to price changes, because the currency is very liquid in its essence, and it is easy to get rid of it in case of an unfavorable market situation. If you have the skills of a financier, currency will be the best form of storing money. If you don’t have this knowledge and skills, then you can put your capital into trust management. This is also one way to preserve wealth, especially in 2016, which promises to be very unstable.

A serious question is where it is better to store money during a crisis. Is it worth investing in deposits? Is it worth keeping money in domestic rubles at all? Even with relatively high interest rates, inflation rates in 2016 will still be higher, and therefore this option is obviously a losing one, even if it is safe. Is it better to invest it in startups? At the moment, the indicators of crowdinvesting platforms are encouraging. Here you can still find yourself in a winning situation, and therefore this option is more interesting on paper.

The economic crisis in Russia may turn out to be longer and deeper than experts predicted. Hidden inflation eats up savings every day, and prices rise by leaps and bounds. The number of those who can afford a vacation abroad has decreased, and even the formula “how to conjure money” has appeared in the list of popular queries for the search engine. URA.Ru experts answered the questions: how to save money and what to spend it on. 10 universal ways to stay afloat in 2016 are in our material.

We are in a state of the deepest global economic crisis, which began back in 2008, and in 2015 it only returned to a downward trend. In such conditions, it is extremely difficult to plan any financial transactions and save. Experts are drawing increasingly negative long-term scenarios and recommend engaging in personal financial planning in order to survive the acute period with minimal losses. URA.Ru experts offer 10 solutions that minimize the risks of each family.

Pay yourself first

First of all, it is important to save part of your income using the “pay yourself first” principle. In any situation, you can always save at least 10% of your income. This must be done regularly, and only this way. According to Ilya Panteleimonov, a representative of the international consulting company in the field of personal financial planning Logic Planning Group, a teacher at the British business school MMU Business School, the more a person has an incoming flow of money (earnings, income, profit), the more it is worth saving: 20-30-50 %. Save and save money, following the “set it aside and forget it” rule.

Inflate inflated expenses

A general rule that every family can use when doing bookkeeping is to estimate monthly income conservatively, deliberately underestimating it. And increase expenses just as much, including possible force majeure. “Then you will not only not have a cash gap, but you will also have small free funds that you can spend on yourself,” recommends financial analyst Konstantin Selyanin.

Ilya Panteleimonov believes that the most important principle for strategizing is: “pay yourself”

Ilya Panteleimonov suggests planning expenses and making them in order of importance. That is, according to priorities. “If you have loans, then you should simultaneously repay the loan and create a “cushion”: a financial reserve for 3-6 months. For what? So that if the negative financial situation worsens, if you urgently need money for something important, you will have somewhere to easily get it. This way you will provide yourself with a guarantee against falling into debt traps and save yourself from credit catch-ups. It is also important, if possible, not to lend money,” says Panteleimonov.

Avoid investments that cannot be quickly converted into cash

Another tip from experts is to avoid investments with low liquidity and avoid savings that cannot be quickly transferred into another form. “Be very careful when approaching investment real estate, because the overpayment for transactions in this segment can be very large, and in addition, in two years it may begin to fall in price. Moreover, you cannot sell the property quickly for the maximum price. A very good option is bonds. They can be sold at any time,” says financial analyst Konstantin Selyanin.

Where exactly should you not invest money?

According to Ilya Panteleimonov, the list of the riskiest investments looks like this: housing under construction, real estate (for the purpose of short-term investment), highly profitable projects and banks with high rates but low ratings. “When it comes to apartments in the development, investing there is very dangerous. Indeed, in times of crisis, it is this market that is one of the first to “stand up”. On the issue of short-term investments in real estate in order to “earn money,” I can say with confidence that in the next three years this is impossible. Of course, no one canceled luck, but strictly objectively, real estate is low in liquidity, and the risks are simply colossal. “Aggressive investments,” that is, projects with a return of 30% per annum (or even per month) are, in fact, roulette. Of course, whether or not to visit a casino is your right. But be prepared for the consequences. Don’t even consider banks with low ratings and high rates that are not included in the top hundred in the rating of banks, not to mention the fact that under no circumstances should you keep your savings there,” explains Mr. Panteleimonov.

Foreign exchange investments are interesting in the long term

The villager recommends focusing on foreign currency investments (dollars, euros, pounds). The ruble has too high inflation and high risks in the long term. One of the simplest strategies for those who would like to create a “safety cushion” for old age is to purchase dollars every month. Even a regular purchase of 50-100 dollars will win in the long run: those who started using this technology 10 years ago have already won. “But if a trend towards strengthening of the ruble appears, you need to quickly make another decision,” warns Selyanin.

Focus on risks or the “mushroom picker principle”

Don't try to catch a pie in the sky. If you are not a professional in speculative transactions, you should not even start. Konstantin Selyanin believes that out of the mass of financial decisions that a person is considering, one must refuse all of them, the mechanism of which remains unclear. If you do not have a financial advisor and an investment management expert, then the only option is to use the mushroom picker principle: “I don’t understand, I don’t take it.”

If possible, it is now better to avoid loans and, most definitely, refuse spontaneous purchases. Many Russians actively use credit cards. Increasing constant credit card payments without closing the limit on time and easily can be the reason why a person gradually gets into debt. “You can get carried away and get into a lot of debt, which will be very difficult to pay off. Your attitude towards credit cards needs to be reconsidered. Ideally, they should be abandoned. Or at least use cards with a limit no more than the amount you can save in 3 months,” says Panteleimonov.

Experts advise setting aside money for force majeure

Insure against sudden losses

He believes that life insurance, disability insurance and even death insurance are guaranteed investments in financial security. This is a small investment in freedom in case of force majeure. In the event of unforeseen situations (accidents, serious illnesses, etc.), only insurance is guaranteed to return money to a family or a specific person. This is especially true for people in dangerous professions: the risks of special forces employees are higher than the risks of a school teacher.

“No investments or deposits will return such large sums, compensate for such large losses, or return money in a short time. Of course, everyone is sure that nothing will happen to them. But in life everything happens without rehearsals. As they say, if I knew where to fall, I would have laid out a straw. Insurance is the only straw. “No financial instrument in the world provides such guarantees as insurance,” Ilya Panteleimonov is sure.

In developed countries, where insurance is the norm, they don’t collect money for treatment via SMS, but rather donate funds for funerals through the entire entrance. “By providing yourself with various types of insurance, you also make a huge contribution to the development of the people and the entire country. Is this a waste? Maybe, but these are the most justified and useful expenses,” says the expert.

Engage in long-term financial planning

For those who are looking for a strategy for a long period of time, experts suggest taking up personal financial planning. But to draw up a plan with a horizon of five to 30 years (or even more), you need to involve professional consultants. Since an ordinary person can hardly develop such a long-term program for himself, taking into account four important parameters: specific goals (save for children’s education, buy an apartment, save for retirement), risk appetite, investment terms and characteristics of a particular household (who makes decisions, who puts signatures and other legal nuances), explains Konstantin Selyanin.

Use mobile applications that allow you to control expenses

You can try recording your income and expenses using online personal accounting services. You need to choose programs that work in real time, both on the phone and in the browser. The system is very simple, but at the same time effective. Once you have spent or earned a certain amount, you immediately record it in the program on your phone (or on your computer, laptop). And according to this principle with every financial event. Once or twice a week it is worth conducting an audit and analysis of your budget. “I assure you, you will learn a lot of new things and want to adjust. The most successful accounting programs: Easyfinance.ru, zenmoney, moneywiz, homemoney, drebedengi, coinkeeper,” says Mr. Panteleimonov.

Invest in new skills

A crisis is not only a period of losses, but also the emergence of new opportunities. As a rule, at such moments a person understands what competencies he lacks and what additional skills are needed. Experts believe that investing in professional growth, training, and advanced training courses can be an absolutely justified step. This will allow you not to lose your job, and maybe find another one. “Now we see that the principle from Lewis Carroll’s fairy tale works: “You have to run as fast as you can just to stay in place, but to get somewhere you have to run at least twice as fast.”

A new round of ruble instability is caused by many factors, which are based on both purely objective and subjective reasons. At the same time, this understanding does not make it any easier, much less peace of mind for the savings collected. What to do and how to act in the current situation.

Should you worry about saving or not?

To begin with, it is worth clearly understanding a few basic points:

• The first fall of the ruble against the dollar has not only purely political motives. Of course, conflicts in neighboring countries and Western sanctions accelerate the process, but they are definitely not the root cause.
• Secondly, the price of oil clearly serves as a guiding star for the ruble; the price falls and, as a result, the domestic currency falls. But it is worth remembering that the reverse process has not been observed in the history of Russia. Of course, the ruble fell under the influence of oil prices, but with its growth it definitely will not rise. Suffice it to remember the crisis of 2008, has it returned to its original levels?
• Third, a sharp or even slow depreciation of money in Russia actively pushes all prices up, regardless of whether the goods are produced in the country or imported. The key word is “active”, in fact, the price increase usually exceeds the decrease level.

It is worth noting that I have come across a common opinion that a depreciation of 20-30% ultimately results in 2-3% annual inflation for the country. Yes, I agree from this point of view that it will be so, but it is worth remembering that inflation in the country does not fully reflect the increase in the price of the real consumer basket. That is, in reality, for the majority of the population, prices have increased by 40-50%, and the inflation rate proudly reports 7-8%. So the question here is in the calculation methodology, which simply does not reflect the real processes for the general population.

Having analyzed the basis of the ongoing processes with currency, let’s move on to the question, what to do next? If suddenly you do not agree with the root causes, then I will be happy to discuss.

According to experts, the majority of Russian households conventionally classified as middle class or located in the nth region have savings. What to do with them?

At the first stage, it is worth clearly distinguishing between two scenarios.

Option one – all your savings (or most of them) are in rubles.

• One of the most optimal solutions from a quality-benefit point of view is the purchase of ruble goods, but provided that such a purchase was planned. For example, savings were put aside to purchase a car (or household appliances, repairs), in such cases it makes sense to use the money. If your own funds are not enough, it makes sense to take a loan; in conditions of devaluation and subsequent depreciation of money, you can save significantly in the future.

1. Pros: Ruble savings are used effectively; price tags in stores have not yet increased. The loan taken will lose value by the amount of price increases and devaluation, and its servicing itself will become cheaper by this amount.
2. Minus - purchased goods will not de facto be a store of value, and return to cash (if you suddenly need cash) is possible only with a significant loss.

• Purchasing gold items. Unlike the purchase of gold bullion (rigidly tied to the price in dollars), products and household goods do not yet fully reflect future market conditions. Thanks to volentality, you can manage to save your money in full.

1. Pros - this savings model allows the widest segments of the population to save money. Buying small and relatively inexpensive gold items is affordable for most ordinary citizens.
2. Disadvantages: problems with the subsequent transfer of products into cash. Actually, the best option is to sell through consignment stores, which takes a long time.

• Purchasing currency. In this context, one of the most risky ways to save your own deposits. The reason for this “riskiness” is that there is a high probability of both a subsidence in the exchange rate, for example, to 48-49 rubles per dollar, and further growth (it is difficult to outline the boundaries here). As a conclusion, you can both lose and gain. When making such a decision, you need to clearly understand several things:

1. First, when you may need money, if you need to pay in rubles in the near future (2-3 months), then you should not exchange it.
2. Secondly, what do you plan to use the accumulated money for in the future? If for purchase, then you should take a closer look at the first option, and if savings are accumulated “just in case,” then it’s definitely worth playing it safe and converting into currencies. It is not so important what currency is the dollar, euro or Swiss francs. In this context, it is better to lose a little, because the main goal is to save, not to increase. If you want to make money, then you better think about creating your own business - this is the best option for increasing capital.

Pros - high preservation of the value of the deposit

Cons – risks associated with exchange rate differences.

Option two is saving in foreign currency.

The main rule that should guide a person who has money “for a rainy day” is to save. This rule is especially relevant in a crisis, and even more so on its threshold; don’t think about how to make money on your savings, think about how to save them.

• Having currency in your hands, you need to clearly protect yourself from possible troubles, so it is optimal to put funds in the bank, but not as a deposit, but simply rent a safe deposit box. In such cases, you will always have access to cash, and secondly, it will be safe.

Bank deposits or more simply deposits. In this case, I did not recommend storing your capital in this way. There are several reasons:

Ruble deposits– at the current deposit rate, the income from the investment will not even cover real inflation. Plus, there is also devaluation, as a conclusion, if you put money in the bank in rubles, the losses will be at least 1/10 of the amount. The nominal amount, of course, will increase, but it will be possible to buy an order of magnitude less with them.

The main risk is depreciation.

Currency deposits– even if rates do not rise (although they are now creeping up), money will not depreciate by the amount of inflation and devaluation. Everything seems to be fine, but external factors (the same sanctions) can lead to a sharp restriction of work with currency. De facto, it seems like there will be money in the bank, but you can receive it with certain restrictions, for example, only in rubles and at a fixed rate, or they won’t be able to give it out at all due to the lack of cash dollars. Actually, there are many different variations, but the result is the same; in the current conditions, the bank will not be able to guarantee the return of foreign currency deposits to the original form, everything will depend on the decision of the state.

The main risk is the inability to guarantee the return of cash currency at the end of the deposit period.

And another risk common to both foreign currency and ruble deposits is the instability of the banking system as a whole. Moreover, even state-owned banks cannot guarantee such stability today due to objective reasons, the presence of external risks for the state itself as a whole.

Shares and other securities. In this case, if we are talking about buying securities issued by a Russian issuer, then the impending thunderstorm plus external threats tell us that it is not worth buying them today. At least tomorrow (as in the case of real estate) they may cost much less. Plus, don’t forget that playing in stocks is a risk even in a normal situation, but now they are just going through the roof. The main disadvantages are a very high risk of losing more than you find.

I look forward to your questions and comments; you can ask questions in the “Business Case” group on Kontakte.

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