Examples of forms of the investment of funds

• Cash in own administration (e.g. the proverbial "“saving trunk"”)
• Deposits at call
• Termingeld
• Savings deposits such as passbook and savings letters
• Government notes of the federation
• Shares
• securities at fixed interest
• Fund, share fund
• Real estates
• Gold and other precious metals
• Art possession: Stamp, painting, carpets, antiques
• Certificate of indebtedness and/or change
• Mortgage bonds
• Capital life insurances
• historical coins, plant coins (e.g.
• Ethical investment of funds
• Hedgefonds
• Noble wood

Savings deposits: Standard agreement

With savings deposits it mostly concerns "„the normal "“savings account in such a way specified, with which it does not require special agreement with the savings bank and/or bank over the running time.

Interest charges: The interest usually lies between 0,5% and 2%.

Availability: Per calendar month can be taken off up to 2.000 euro. If the saver wants to take higher amounts off, then he must quit i.e. to his bank or savings bank communicate 3 months before, that he in three months e.g. 8.000, 00 euro to take off wants. If it cannot keep the term of notice, then one will disburse it nevertheless the desired amount, must he then with a slight deduction of interest discount, which advance interest so mentioned, to count.

Savings deposits: Term of notice over 3 months

Interest charges: the interest rate for these savings deposits is higher than for "„the normal "“passbook. The longer the agreed upon term of notice, the more highly is the obtained interest.

Availability: With savings deposits terms of notice of one or of four years are usual; possible are also different agreements. It is to be noted that according to the laws to the notice a waiting period of 6 months applies after the deposit. Usually also for premium-favoured and fortune-effective savings deposits considering the longer running time a higher interest rate than with is paid legal term of notice.

Savings letters

Who would like to put a money back for one period between 4 and 6 years, knows a savings bank letter over any high amount (minimum amount: 50"€) acquire. The savings bank letter is a security, in which a demand is confirmed by a document opposite the savings bank.

Interest charges: Savings bank letters usually bring in a higher interest than the investment of funds on a passbook. Contrary to this the interest rate for the entire agreed upon running time is certain. For the interest charges there are two possibilities: The buyer deposits the nominal value and receives the agreed upon interest annually or half-yearly disbursed or credited similarly as with a deposit book. Besides there is in such a way specified "„abgezinsten "“savings bank letter, with which the buyer pays only the nominal value less the interest, which results at run time.

Availability: The equivalent of a savings bank letter can be had only after the expiration of the agreed upon running time. If the buyer needs the money however in former times, then he knows the savings bank letter beleihen to leave and of the savings bank a credit in appropriate height get.

Building-save

With this plant form the saver connects the goal of acquiring housing or house property or of improving already existing property. Who locks a savings agreement for building purposes, requirement on a interest-favorable saving loan with a building company not subject to notice has after saving a part of the building savings sum (40%) and at expiration of one minimum period (18 months). The height of the loan corresponds to the different amount between the building savings sum (over those the contract is locked) and savings balances at the time the asset interest on a building savings account are comparatively small, are there the interest for the loan likewise. If the loan is not taken up, the savings agreement for building purposes thus only for saving related, many building societies later improve the asset interest up. See: Collective building saving

Securities at fixed interest

By the expenditure of securities at fixed interest, which offer the credit institutes for the purchase, means for larger projects (investments) are applied. Mentioned are here mortgage bonds, with which funds can be procured for housebuilding; Municipal bonds, loans of federation, federal courses and Federal Postal Administration, in order to receive means e.g. for the development of trade areas, canal construction, development of traffic and telephone network.

Interest charges: The average yield of securities at fixed interest can be e.g. with 5-6 per cent. It depends on the situation at the capital market (stock exchange).

Availability: Securities at fixed interest have certain running times, which lie generally between 5 and 10 years. After this time the papers are paid back to the nominal value, i.e. the imprinted amount. Who would like to convert the securities before the intended redemption date into money, she can sell at any time over Kreditinstitut at the stock exchange. Then it is not guaranteed however that he receives i.e. under the nominal value, is), but is paid the bond issuing price (mostly below 100%, the respective current rate, which is determined at the stock exchange. The current rate can be over or under the bond issuing price. Thus securities in the course sink, if their interest charges are appropriate lower than those for the again spent. They can rise in the reverse case - if the interest at the capital market sinks - in addition.

Shares

A share confirms a portion right by a document at the capital stock of a corporation at height of its nominal value. Shares are acted at stock exchanges to the exchange rate value, which results from supply and demand.

Interest charges: Shares confirm a portion by a document of the profit (dividend right). The height results from the rate of dividend, which refers to the nominal value. It depends on the profit situation.

Availability: Shares can be bought and sold usually at any time. Kursverluste or profits on exchange can result.

Investmentzertifikate

Investment companies (Kapitalanlagegesellschaften) buy securities of different kind, e.g. Shares and mortgage bonds. They form together a special estate, also for funds mentioned. Who buys a Investmentanteil, a joint ownership possesses to fractions at this special estate. Its value depends on the current rates of the securities, which are contained in the fund. The Investmentsparen is the basis the principle of the Risikostreuung. If the courses of certain papers of a fund sink, then can become balanced by Kurssteigerungen with other papers.

Interest charges: yields, e.g. Interest, dividends, profits on exchange from the fund assets, can be distributed annually to the owners of the portions. The height "„of the payments "“depends on the yield of the securities contained in the fund and/or properties with the real estate funds. One can compute the height of the interest charges, by determining the proportional portion of the payment of the price of the portion light.

Availability: Investmentanteile do not have firm running times. Who would like to back-have its money, can the portions over its Kreditinstitut sell. On the development of the value of the securities and/or real estates contained in the fund it depends whether with the sales of a portion more or less one releases as with the purchase on it one spent.

See also

• VALUE Investing
• Plant sector
• Ate Allocation
• Bank
• Depot
• Diversification
• Investment restrictions
• Savings bank
• Interest, interest anticipated payment
• Calculation of interest
• Lack of investment opportunities conditions
• Real estate fund
• Ship fund

Investment styles

• Security Selection (choice of a single instrument)
• Security Selection and ate Allocation
• Security Selection, Group Selection (shares versus loans) and ate Allocation

Articles in category "Investment of funds [2 / 2]"

We found here 87 articles.

Related Websites

We found here 3 related websites.

• Calvert socially responsible mutual funds. Calvert: Investments ...
  Calvert socially responsible mutual funds. Calvert: Investments that make a difference.


• Investment Management Association
  The money our members manage is in a wide variety of investment vehicles including authorised investment funds, pension funds and stocks and shares ISAs. ...


• TrustNet Limited - Investment Funds Information Service
  Detailed daily performance data and information covering 600 UK investment trusts, offshore funds...