Savings are no longer profitable (Brazil). What can I do now?

Uploaded by lapressetv on 26.10.2012

Saving accounts aren't profitable anymore (Brazil). What can I do?
We continue our talk to friendly Elaine Mello
partner of Pyxis. She talks directly from Campinas, São Paulo, by internet
in the previous interview about the women participation in the stock market
and now we'll talk about a kind of investment really appreciated by women
the saving account, isn't they, Elaine?
and we'll detail it a little more during this interview
first talking about "SELIC", the Brazilian main interest rate
reduced to 7.25% per annun
the lowest historical level
What do you say, Elaine?
Exactly, Luciene.
Good afternoon to you and everybody who follows La Presse
ans let's talk a little bit about this current scenario of Brazilian economy
a new moment in Brazilian economy
we've never had an interest rate so low in our economy
and, unfortunatelly, it has damaged a lot the fixed income investments
mainly the savings
which bring us negative results
we already have negative results in the saving accounts
people who used to save money as a plannig for the future
only counting on savings
very common in a female investment profile
it will be a tremendous trouble
'cause it's not possible to accumulate capital, accumulate money anymore
with negative yield
we have the evolution of the Brazilian interest rate
Yes, in 2011 it was arounf 12%
and now this lowest level of 7,25%
It's a good thing, but a lot of investment habits must be reviewed
It's good for the macroeconomics
due to many reasons
but for the individual investor it is a problem
he can't profit anymore
we've reached a crucial moment to people learn about other ways to invest
a diversification of the investment portfolio
we can't centralize all our investments in fixed income
we won't earn money this way
people will need to learn a little about stock market
understand how they can manage this risk
that is possible
we need to forget this way feeling that we'll lose money in the stock exchange
it can happen if you do everything in the wrong way
the right way really exists
it's really important that people know about that
learn about how to deal with the stock market
to accumulate money to the future
to build an amount of assets to the future
we have a slid here showing how the savings will monetize
with another cut in the interest rate
how it will be now, the whole process
I'd like you to explain to us
we start calculating
showing SELIC's value
the level it reached: 7,25%
and after that, the other 'characters' of this little calculation
we have the inflation
we have the 'TR', the reference rate
which make a little correction in the calculation
and than, after all this calculation's step by step
we find negative savings, unfortunatelly
around -0.50% per annun
Elaine, if someone goes to the bank and
and someone says that the savings are not negative
it's because they are not discounting the inflation
the manager or anybody giving this kind of information
it's a wrong information
in your calculation, the inflation is already discounted
the real yield
or, the real deficit of savings
and you can see on the web many articles and commentaries
talking about the savings yield but
not talking about the inflation
and it's really important
the inflation is something real
and it will impact all investments
there's no other way, he have to discount the inflation from the calculation
the forecast for it is 5.6%
a little less are savings which gives 5.5%
you discount 5.6%, you stay negative
there's no other way, it's a math calculation
we have here some alternatives you've sent us
from gold and U.S. dolar that is also negative
here we have the performance of different investments
in September
gold was the champion
with 4,5%
second, the stock exchange with around 3,7%
and than we see, at the end
of this scale
and the fixed income among all
savings, SELIC are among all
at very low levels
it's possible to see the difference on the chart
between the fixed income and the stock market
that's why it's important to
we must diversify our investments portfolio
So, which is the way to women who have just started
to save some money and face now this change in Brazilian economy?
Basically, knowledge, Luciene
as we have talked in the previous interview
talking about knowledge
So, it's mandatory
it's not possible to start in the stock markets without knowledge
this is the shortest way to have serious problems
to lose money and, in this case, the stock market is something bad
but there is a very good side on the stock market
I talk about it with experience
and the point to find this way is knowledge
there's no other way
so, I suggest to people
go and seek knowledge
read, attend courses, presentations, go the the web
let's go to the Youtube
every information source about stock market must be seized
and use it
to succeed in your investments
Ok, Elaine Mello, thank you so much for your information
and one way to find you is
the Facebook fanpage 'Bolsa e Baton'
with information about economy, stock market, savings
a lot of alternatives to investors
That's it, Luciene. We have also Pyxis' fanpage
So, two ways to people be in touch with us
Thank you and see you next time
Thak you , Luciene. See you. Good afternoon to all
Good afternoon.
From BM&FBOVESPA's studios, São Paulo, Brazil. I'm Luciene Miranda