The stock market has been associated with the public’s minds with realizing the tragic losses and stories of people who lost all their investment in the stock market, to the point that a large percentage of society members avoided investing in the stock market because of what they see as a high degree of risk, but the reality may reveal completely different facts.
According to the most recent study of the return on investment in the Egyptian Stock Exchange versus investment in gold, investment in bank deposits or even investment in the dollar, it was found that investing in the stock market over the past twenty years was the highest return compared to other vessels regardless of any fluctuations that occurred in the global and local markets, where He achieved a return of 1360% compared to a return of 843% to invest in gold, 320% to those who invested in the dollar and only 220% to invest in banking vessels.
The investment in the stock market is suitable for pensioners who prefer long-term savings vessels, especially with investment banks’ expectations that the central bank will continue its policy of monetary easing and lowering interest rates during the current year, the continued decline of the dollar prices, and the abolition of high-yield savings certificates.
To confirm what we mentioned, an ordinary citizen with no experience assumed that he could save 1,000 pounds per month starting from the year 1998 until the beginning of 2018, then we will find that the total of what he saved was 240 thousand pounds, and suppose he was investing this amount in a bank deposit, so it was expected according to the prices The interest that the economy witnessed during those years is that its investments reach about 519 thousand pounds, assuming that he is also saving the interest, meaning that the return reaches approximately 220%, but in the event that the person was transferring his savings to the dollar every month, it was expected that the value of Its investments amounted to about 770 thousand pounds, i.e. a return of approximately 320%.
But if a person bought gold every month with his savings, the value of his investments would reach more than 2.022 million pounds at the current value of gold, i.e. with a return of approximately 843%. As for investing in the stock market on a monthly basis, it was expected to achieve the highest return of up to 2.035 million pounds With a return of 848%, and if we add to that the profits that the companies distributed to the shareholders, and that if the investor had invested them too, he would have jumped his investments to 3.27 million pounds, or with a return of 1360%.
Recently, the Egyptian Stock Exchange Administration has worked to provide various investment products that meet the needs of all categories of investors, especially small investors, through long-term cumulative savings across the stock market through the indices fund.
Therefore, the Egyptian Stock Exchange management decided to cancel the minimum quantities by the orders of the market maker on the ETFs investment documents, which the customer was obliged to invest with a minimum of about 14,000 pounds, which was not possible with him by small investors dealing with the ETF documents as a savings tool. Long-term enables them to benefit from the diversity of the investments of these restricted and circulated funds in the Egyptian market.
– .
