The year 2022 has ended, and it is time to draw up summaries, with the intention of making preparations for the next 2023 that will benefit us.
Investors in the capital markets were not satisfied this year.
The Tel Aviv 90 index fell by 18.2%.
The bond indices in Tel Aviv fell on average by about 9%. The dollar exchange rate increased by 13% and the Bank of Israel interest rate went from 0.1% at the beginning of the year to 3.75% now.
This is the time to examine the total investment portfolio of the household, taking into account the forecast for developments in the economy of the country and the world.
The war in Ukraine has an impact on energy and commodity prices.
In the bond markets, the inherent returns are relatively high. The risk involved in the investment must also be taken into account. In the price levels, it can be seen that the predicted return differences between the stocks and bonds are relatively low in historical comparison, which creates a relative preference for bonds.
In order to decide if and what changes to make in the family file, the first step is mapping the existing situation.
Data must be collected on the investments in the household's pension instruments (provident funds, training funds, etc.), including the investment policy in each of them and the liquidity conditions.
Investments in the capital markets (securities portfolios of all types) and banking investments (deposits, savings plans, etc.) must be added.
It is suggested to prepare a centralized table according to channels (stocks, bonds, deposits in shekels, deposits in foreign currency) and insert the data in terms of money and in terms of percentages. It is suggested to indicate the liquidity conditions (liquid, will be repaid at the end of the year, etc.) It is also necessary to collect the liquidity needs The projected two years for the family (travel abroad, bar mitzvah, retirements) and from here start the process of changes in the family investment portfolio.
Helping professionals in the field can certainly have added value.
The information presented above is not a substitute for personal investment advice, which takes into account the data and needs of each client
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