For those investors who do not want to settle for the minimum percentage of bank deposits, shares, units and structured products can be recommended.

It is wrong to consider only those who invest fabulous sums of money as investors. Even those who have a small amount of capital can invest. Millions of individuals with average incomes buy and sell securities, participate in stock exchange trading, and purchase various investment instruments. Even a person who holds an ordinary bank deposit can be called an investor, albeit an extremely conservative one. Risk and profitability of investments are in direct correlation with each other. The higher the risk, the higher the return, and vice versa. Any investor would like to maximize returns at the level of risk he is willing to take. There is a concept of risk profile – an individual investment characteristic, which allows you to determine the preferred areas of investment.

Investing in shares

It is not difficult to invest small money in shares of companies. To do this, you need to decide on the amount and choose a broker – a company that will provide access to the stock exchange. The investor receives profit from dividends and from the growth of the value of shares when they are sold. First of all, the investor should be interested in the value of shares. Dividend yield (it is usually small, averaging 3 – 5% per annum) is an important indicator, but the main income the investor will receive is from the growth of the share price. The return from the growth of share price can reach double digits.

The decision to invest a small amount of money in shares of one company may be rash and may not give the desired result. It is smarter to invest in several securities. This will reduce the risks if some of the shares become cheaper.

Investments in mutual funds

Many financial experts recommend investing in mutual funds. The starting amount of entry into a mutual fund is small – from a few tens of thousands of rubles. Some UIFs allow you to buy not the whole unit, but its share.

The advantages of investing in mutual funds are their transparency, state regulation and potentially high profitability. The risk of losing your investment is small, as the invested funds are diversified, and the probability of bankruptcy of all companies at once is negligible.

Particular attention should be paid to the choice of management company, which will deal with the investments of shareholders. Often the name of the fund is already clear about the direction of its investments. When choosing a mutual fund, use the ratings regularly published in the media or consult a financial advisor.

There are no interest or other payments during the operation of the fund. The shareholder will be able to increase the invested funds by selling units if their value has increased. Units are sold and bought back by the management company itself or authorized agents, which can only be legal entities – licensed brokers.