Investing €1000: Full Breakdown & Transcript

[00:01] investing, what would be the best option? The answer will depend on who you are, what knowledge, and many other things. So, to help you find a suitable place that makes sense for you, today I'm bringing you seven and a half places

[00:14] €1000. Who knows? So, hello, my name is Gabriel Ferreira. Whether you're new money online, while I share my entire journey from zero to a one of the 30 under 30, all by applying what I teach here. I would also like

[00:27] say here is solely my opinion. And by the way, a big thank you to video, but we'll talk more about them later. So now, for each of the look at, I'll tell you what I consider to be the degree of risk

[00:42] size of the average returns for each, and the difficulty of each one as well. I also want to make it clear simpler investments and gradually move up to the more complex ones. And then investment number one, 0.5, knowledge, I know, it's a

[00:58] drag, what kind of investment is that? It's really not a sexy investment to talk about in a counting on the middleman, so it's not a traditional investment, but it Without this, it's impossible to succeed. And that's why , even though it's

[01:12] for the beginning of this video. If I learn how someone else has already done what to get there faster because I learn a path that has already worked and avoid the mistakes that person has already made. So, really, first and foremost, one of the

[01:24] every €1000 invested here is money well spent. Even if you're involved in something you don't like, at least you'll know that you don't like it, and you'll know as early as for you. The risk level here is low, the potential return is very high, and the

[01:37] difficulty is too variable to give a specific score. Now which, adding to the previous one, is 1.5 fixed- term deposits. At the bank, we can grow through term deposits. In other words, you hand over a certain amount of money to the

[01:51] bank, there are usually minimum amounts you have to meet, and that money stays with 6 months, a year, or whatever. And in return you receive a fixed interest rate. protected by the deposit guarantee fund up to €100,000. But what is

[02:05] For example, Portugal ranks fourth in terms of the worst interest rates I'm going to share a lot of percentages and numbers here that are interesting for you to know about profitability and all that , but they are the real figures as of the

[02:18] be a little more to the left, a little more to the right, but . But ultimately, the average for new deposits here in Portugal at the moment is 1.36% gross per year. Of course, this is an average, so you may find

[02:31] others with worse ones. This brings us to the level of risk. Please note, once again, this is very low-risk situation, not only because of the €100,000 we have in protection, that doesn't usually cause problems. The potential return is also very low, OK? It's really

[02:47] is also very low; it's almost a matter of exploring the available options, going to the place that depositing the money there. Therefore, there isn't much to know. We're moving on to the next type of investment, the forro certificates. Oh, those ceiling certificates,

[03:01] Essentially, here you are investing in state asks for money from the state in exchange for a payment. Therefore, you have to that money, and then every three months you will receive the interest. Here, the capital is

[03:15] if the state goes bankrupt, which, let's say, is very unlikely to the longer you keep your money invested in the bonds, the more loyalty bonuses you can earn. In other words, on top of what you'll already

[03:29] don't sell the forro certificate, for example, for 2 years, you earn more than 0.25% on the base, in the sixth year it goes up to an extra 0.5 C and it keeps increasing goes up to an extra 0.5 C and it keeps increasing until the maximum of 1.75 in the 14th year.

[03:41] At the time I'm recording this video, the base is at 2.138%. In terms of risk, capital is guaranteed. Profitability potential is no longer very low, time of COVID, I considered that he was already at the middle level. It's currently

[03:56] makes sense for the product it is. The difficulty level is low here as well. So there's research and compare. It is fine? I'm only not saying the difficulty is very low because the beginning of the process is slightly more laborious than, for

[04:09] So I didn't set it too low. Basically, once you open the process and it starts moving, it becomes very simple. It is fine? We've now come to interest-bearing accounts, which aren't bank accounts. These are platforms where you can

[04:22] earning a percentage of interest on your capital, but it 's not bank interest. Essentially, this money is invested in much more conservative options. OK? There you have it , that's the interest rate. Typically, you

[04:34] upholstery certificates, but often there are other options that may For example, at Trad Republic, the partners in this video, their interest-bearing account currently pays 3% to new users and 2.25% to users like

[04:48] some differences here. For example, you receive the money here every month, month you have your interest paid and also have a more you want to withdraw money from the platform now, and you have uninvested money there

[05:02] returns I just mentioned. If you want, you can simply use, withdraw the money directly from the platform. And listen, I'm giving the example where you can access these interest-bearing accounts, okay?

[05:14] In other places, the percentages may vary, and then you will just for that; it's also a brokerage firm. You can also invest in you can also use it as an investment platform, which again allows you to

[05:27] invest here, as it is a German brokerage and bank. It is fine? Here's the interest-bearing accounts, the degree of risk is usually low. It's also the low repair. It's not as FR certificate, because there is guaranteed capital there, but it is low because,

[05:39] normally, these funds either manage to absorb bank interest and distribute part of that bank interest to you, or they invest in liquidity funds called KMFs, which are also more conservative investments. The

[05:51] potential return also depends on what you use to invest in these interest-bearing accounts, but I would say it can range from low to low-medium, OK? Depending on the options you can find, and the difficulty

[06:03] and, basically, with this type of option, you usually leave the money idle, but OK? If you want to see for yourself what Trader this higher profitability for new users makes sense to you, the link is in the

[06:17] here in the QR code. Now we're taking a big step forward and moving into ETFs. To make it easier, I'm going to focus on more established ETFs that track indices example, because there are so many that it's hard to find just one

[06:31] Again, this doesn't mean it's the right answer, it's just my idea what that is, are exchange- traded funds, or basically funds that imagine that you can invest in these pre-made baskets with various

[06:45] choosing, "um, I'm going to invest in this specific company or that one," you within that basket, okay? So, you put the money in the account, and it has assets that are there, and it will automatically do the process

[06:59] assets. This makes studying much easier and a truly diversified ETF. For example, ETFs that track the S&P 500 invest in 500 of the largest companies in the United States . MSC World, on the other hand, focuses

[07:13] more on the globe as a whole and already invests in over 1,300 companies from 23 the United States. Imagine if you wanted to invest in each of these 1300 companies individually. Imagine, you're looking at them one by one, each one is different. I honestly don't think it would be possible; it's

[07:27] work. It might work, but I don't think it's sustainable. Therefore, many people tend to choose ETFs. The S&P 500 is considered the market average. Currently, the average return over the last decade is 13.06%

[07:41] per year. But we already know that this can vary. I tend to think of it as 10% course the level of risk will change here. The degree of risk is unavoidable. We're moving to the medium term because there's more volatility, although in the long term the

[07:53] be more positive so far. There is this volatility that doesn't exist in other average because it is literally the average. So, if what's considered average in the previous comparison is actually medium, then saying that this is also medium-low starts to seem a

[08:07] Let's change it to this, OK? Please note that I am referring to these last two assets, OK? And this applies to this type of asset, not all ETFs. I'll also rate the difficulty as medium because it requires

[08:19] things we'll see later. Now I can choose the companies, OK? Aqu elas andem visto tudo a de dado. And it is with this point that we arrive at the and many of them are publicly traded, meaning anyone over 18 can

[08:32] invest in them and become a small business owner. Basically, you can Unlike ETFs, which are something goes wrong among 500 or 1300 companies, you might not feel it

[08:45] on the other hand, if something goes wrong with your chosen stock, you'll absorb 100% of the loss. OK? The other side of the coin is also true. If things are going well in a stock within an ETF, you might not feel

[08:58] a big impact there either. But if your individual action goes well, you receive 100% of that impact. For this, you need to know how to study the subject well. Obviously, some people , some do technical analysis on charts, some go by gut feeling and

[09:11] do a little bit of everything at the same time, but the reality is that they all responsibility. Point. By the way, just so you know, we have two financial atlas platform, which is also mentioned in the description, in case you want to take a look at

[09:25] activity, it's very different. I can't give you an average, OK? But I'll think of them as a whole. Within reason, the risk is high. Please note that we always talk about potential return; initially,

[09:37] the higher the potential return, the greater the potential for loss. It is fine? This is the law: the both have increased. And by the way, I also consider the difficulty level high Our second-to-last type of investment will be cryptocurrencies. Excluding

[09:51] major cryptocurrencies like Bitcoin and even Ethereum. Here we've completely changed the operate using a technology called blockchain. Imagine you want to go for a sit in, say, a bumper car and try to put a banknote in it,

[10:04] money for some tokens, special coins, so you can enjoy money for a coin, for tokens to interact with a specific ecosystem. In this case, they are bumper cars. This is extremely simplified.

[10:17] What are cryptocurrencies, but in a digital world that no one controls? Right here it the opposite: bumper cars are affected by supply and demand, meaning their price varies. So then it's possible to invest in them. We

[10:30] these coins, whatever they are, their price fluctuates, and I can keep investing. This is to explain in a minute. There's also a 3-hour training course on this topic delve a little deeper, but this will give you a very basic idea

[10:44] of ​​what it's all about. But what happens is that most of these to nothing. It's highly speculative, and you can either double can literally lose it in minutes. So the risk is very high. The

[10:58] potential return, that is, the tests that can be achieved, considering the video, also becomes very high, although it is very risky. And the most of the time you're kind of in a casino, honestly. Unless

[11:11] you're doing very specific types of [music] investment . It's really very come along and think, "Look, I'm going to start and get good results." Ah, a moment ago I was saying that TR Public allows you to invest in bonds, ETFs, and stocks, but it also allows you to

[11:23] Okay, I forgot to mention it earlier, but here's the note. Finally, we come to information in the Atlas, OK? Given by João Gonçalves, a whiz in real estate. And investment here because it truly is the type of investment that has created the most

[11:36] ask: investing in real estate with €1000? But is everything alright? Of course it's in real estate with €1000, I'll tell you right now, and even with €0. What I learned in that because yes, I am present at the in-person recordings, so that I

[11:50] all the strategies for negotiation, buying, reselling, whatever it may be, you can find good money to ask for the investment. For real estate investments. Therefore, we don't create them, we don't go

[12:04] looking for opportunities, but we give the money to those who know how to use that then we split the profits or losses. Therefore, the good is divided and with €0, bring your knowledge, and find investors

[12:16] Okay, so they form a partnership. Now, to do that, you need to know every have connections, you have to have the stomach to deal with something so real, like, it's are right there in front of you. Sometimes it's not physical work, sometimes it's just projects, but

[12:28] , especially when you're starting out. I believe that the risk here someone who's already doing this perfectly— but for a beginner, the risk is high, OK? risk ceiling the more knowledge you have. This is also true for

[12:43] other things, but here especially you can really reduce the standardize processes. Of course, once again this is true for almost everything we've talked about here previously. The potential return is high, OK? And the

[12:55] this difficulty decreases over time. Notice that, of investment, the lower the potential return, and vice versa. This isn't always often people choose to start with something in between; they don't want the minimum, they don't

[13:09] want the maximum, making ETFs a preferred starting point for many easiest, you're in a hybrid. So, if you'd like to start in practice, I have this video here where we'll literally go step-by-step through

[13:23] a more professional eye so you have the tools on your side and can thank you for watching. That's all for next week, bye.