In what currency to keep money in 2020

2024 Author: James Gerald | [email protected]. Last modified: 2023-12-17 14:00

In the light of recent events (pandemic, falling oil prices, global crisis), many Russians are thinking about what currency is better to keep money in 2020, so as not to lose them, and, if possible, to increase. Below are the experts' opinions for today.

History of the issue

According to Edgar Kuplais, account manager at one of the largest financial product sales departments at Saxo Bank, you shouldn't buy a currency when its rate has increased significantly. The specialist suggests recalling the end of 2014, when there was a sharp drop in Russian stock indices, against which the ruble devalued.

Then the Russians, succumbing to panic, rushed to exchange offices in order to get rid of the ruble as soon as possible. As a result, having bought EUR 100 each in December 2014, they were subsequently forced to sell the European currency at a lower rate.

Roughly speaking, excessive emotionality and a panic mood contributed to a significant "weight loss" of the wallets of would-be investors. So is it worth repeating the mistakes of the past?

In addition, from the expert's point of view, in the near future the citizens of Russia will hardly need to own the euro or the dollar, since the borders will remain closed for some time.

“But even in the case of a favorable scenario of the development of events, which implies the removal of all restrictions, it is unlikely that everyone will immediately rush abroad to rest or decide to purchase luxury goods,” Kuplais summed up.

Nevertheless, the question of what currency to keep money in remains relevant for Russians.

Which currency to choose

Before making a choice in what currency to keep money in 2020, you should pay attention to the predetermining factors, one of which is the investment period.

A good option for a long-term investment, according to experts, is the Japanese yen, since the economy of the Land of the Rising Sun is quite stable, although it has a small, but steady growth. And the inflation rate in Japan today is the lowest among the G20 countries.

The Japanese national currency is showing stability: over the past three years, its fluctuations against the USD did not exceed 20%.

It is recommended to transfer the savings that will be used soon (in 1-2 years) to a ruble deposit in any of the Russian banks. At the same time, protection against inflation will be provided by interest on the deposit.

Deposits in rubles

Many Russians habitually believe that the ruble exchange rate is directly dependent on the oil price. The more expensive black gold is, the more confident the Russian ruble feels. Therefore, it makes sense to focus on the oil market, as well as study forecasts for the price of a barrel in 2020.

On the one hand, this is so, but today the exchange rate of the national currency is much less dependent on oil prices, as it was before. The fact is that the budget rule is now in force, thanks to which the ruble has lost its dependence on the cost of natural resources.

Although small fluctuations of the national currency against the background of changes in oil prices can still be noticed, in general this factor does not have a big impact. Thanks to the targeted policy of the Central Bank, headed by Elvira Nabiullina, the country manages to restrain the depreciation of the RUB, which allows it to cope well with inflation.

According to experts, by the end of 2020, the ruble may lose only 3-4%, so it is relatively safe to keep money in national currency today.

Deposits in USD

In the last couple of weeks, the US dollar has shown an unprecedented growth - by almost a third. While the cost of oil fell sharply. From the point of view of Sergei Makarov, Deputy Director of the National Center for Financial Literacy, Russia is now being saved by a "safety cushion" in the form of the National Welfare Fund.

Such a reserve capital will make it possible to survive the financial crisis without any special losses. When choosing a currency, Makarov suggests paying attention to the US dollar, since, in his opinion, it is considered the most historically protected asset. During the crisis, the demand for USD grows, which ensures a rapid appreciation of the exchange rate.

At the same time, the financier does not recommend buying a dollar for all savings, it is better to do 50/50. At the same time, you should not buy currency right away either. This should be done gradually, for example, once every 1-2 weeks in small volumes. This will average out the risks of acquiring currency at the worst possible moment. After all, the "American" has already grown significantly.

Deposits in euros

Over the past few years, the EU currency has shown relative stability and even a slight increase against the USD. But experts still warn potential investors against the risks associated with the weakening of the euro in 2020.

This may be influenced by the unstable political and epidemiological situation in Europe, events in Northern Ireland and Catalonia, constantly striving for secession, and many other factors.

Thus, experts believe that in 2020 the most reasonable solution will be the currency basket. For example, 25% of the funds can be invested in euros and dollars, and the remaining 50% can be left on the ruble account. There is another way: to invest free money in all three currencies in equal shares - 33% each.

Summarize

1. The choice of currency for investment depends on the term of the deposit.
2. The dollar and the euro showed rapid growth amid falling oil prices, which greatly weakened the ruble. Meanwhile, experts believe that for short-term deposits, the national currency is an ideal option.
3. It is now possible to buy US and Eurozone currencies, but only for no more than 50% of your savings.
4. Today, the best option for storing funds will be a basket of currencies.