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Is it better to invest or keep money in an account?


How to manage your finances the right way 06 / July / 22 Homer Barton Visitors: 641 Rating: ★★★★★

If you present yourself from the point of view of a contributor, this point of view can be shared, including because we are talking about the profile of a person who does not like to take risks. However, you should ask him if he took into account inflation, which in Italy reached 6.2%.

We talked about the burden of savings inflation in a recent article in which we explained by a practical example why at the end of the fair even the depositor loses us in such difficult economic conditions.

Storing money in the parking lot: an alternative

An alternative to storing money in a current account is Forex, that is, the foreign exchange market.

This is not about day trading on forex, but about using long-term price movements of major foreign currencies to protect the value of your capital.

A practical example. Those who bought dollars at 1.22 euros in May 2021, reselling them today at 1.05 euros, collected a whopping 17 euro cents for every dollar bought. In percentage terms, this means an increase of just over 16% (EUR/USD).

It's not bad how to make money, as if to protect your capital from inflation, in 2021 and 2022, and this is without risk, and then too much capital, because “in your pocket”, money remains in the liquid, and not assets, stocks, bonds or what I think for a depositor can to be too risky.

Nevertheless, anyone who is in a hurry to buy dollars now risks getting burned. In the dynamics just explained, it would not be an ideal time to buy US dollars, but to sell them compared to the euro or exchange them for the USD/GBP pair and receive in exchange for the pound sterling: USD is also valued at GBP.

On the other hand, with the euro, it may be useful to evaluate the purchase of the Japanese yen (EUR/JPY). The euro has not strengthened so much on the JPY since 2018.


For your safety, we have compiled a complete list of unscrupulous brokers.


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