Tricks to make profitable operations in the stock market at the end of the year

The Spanish stock market traded €40.879 billion in equities , 2,7% less than the previous month and 13,7% below the figure for a year ago. The number of trades during this period fell by 19,2% compared to the previous month, to 3,39 million. This is 12,9% less than in the same month of the previous year. These official figures indicate less interest from small and medium-sized investors, given the high volatility seen in equity markets in recent months.

When there are very few dates left until the end of the year, we can still make a profit from trading on the stock market. Through certain investment strategies that will not be very difficult to carry out and with which we can end the trading year with greater optimism that we started it. Within a general context in financial markets that certainly do not invite optimism. If not, on the contrary, it is very conducive for us to act with more caution in the movements that we are going to develop from now on.

In any of the cases, they would be very fast operations in order to make the operations profitable in a very short space of time. In no case aimed at the longest terms that will require another scenario in the equity markets. And if possible in very liquid securities, in which we can enter and exit their positions without any problem. With a better adjustment in the price of the purchases and sales of the securities and that is after all one of our most relevant objectives from now on. In what is conformed as a very special investment strategy to end this year.

Opt for electrical values

A great way to end the year on a high note is by buying and selling shares in this sector. It offers significant security during challenging times in the stock market, as is expected in the coming years. This is because it generates a fixed and guaranteed return of around 6% . This allows you to build a fixed-income portfolio within your equity portfolio, regardless of market fluctuations. In other words, it offers greater security than other types of stock market investments.

On the other hand, you'll have noticed that when the stock market has fallen, it's precisely the electricity sector stocks that have performed best across all international exchanges. In this sense, there's no doubt that the risks are lower in the trades carried out these days. This is further reinforced by their status as a safe haven in the face of instability in equity markets. To such an extent, in fact, that these stocks are included in the investment portfolios of many national and international asset managers.

Invest in oil

This is another option you have to make your savings grow efficiently. It maintains a clear upward trend that could bring you more than a few pleasant surprises in the coming months. In this regard, you can invest in oil by buying shares in petroleum companies, which are currently trading at very competitive prices. However, on the Spanish stock exchange, there is only one company listed with these characteristics: Repsol , which has a share price of around €15.

Alternatively, you can also opt for investment funds or exchange-traded funds (ETFs) that base their portfolios on financial assets of this nature. These are investment products designed for longer time horizons, and sometimes combine investment with other assets, including fixed-income and variable-income derivatives, or even alternative investment models. They can be very useful for diversifying your investment and, of course, for avoiding focusing on any single security or financial asset.

Promotional taxes

If you're an investor with a more defensive or conservative profile, the solution to your problems might lie in fixed-term bank deposits. But not just any deposit; you need promotional offers, which currently provide the best returns, reaching interest rates close to 2%. However, these require a shorter investment period, ranging from 1 to 6 months . The advantage is that this product is free of fees and other management and maintenance costs.

It's also important to emphasize that this type of bank deposit can serve as a bridging investment. In other words, it can be used temporarily until you return to the stock market. This way, you can protect your savings against stock market volatility. Because ultimately, you'll get your money back, and with a minimum return that justifies taking out this bank product. Which, after all, is one of your main objectives. Because it's a risk-free transaction.

Gold bullion

This is an alternative investment characterized by its originality and the potential to capitalize on the high levels gold has reached in recent months. As a safe haven asset, it can benefit you during turbulent times in the stock market. In this case, gold bars are suitable for all types of investors, as they can be purchased for as little as €60 and up to much larger amounts, depending on the preferences of small and medium-sized investors.

On the other hand, you can't forget that this product is based on one of the best-performing financial assets this year, with returns exceeding 30% and surpassing those generated by buying and selling shares in the stock market. It's no wonder, then, that many investors are allocating their money to this product to maximize their available investment capital, considering both technical factors and fundamental aspects.

Very high quality bonds

Within the fixed-income sector, the best alternative is represented by these types of financial products, which are the ones that can offer the best returns from this point forward. While it's undoubtedly an investment that carries some risk due to the unique characteristics of fixed-income markets in recent months, it will at least provide some protection in the event of a stock market crash. However, this requires being very selective in choosing these financial assets with similar characteristics.

On the other hand, they offer an interest rate that ranges between 3% and 5%, more or less, depending on how the financial markets perform. It's also true that you might encounter the occasional surprise that could lead you to switch financial products. But in any case, high-quality bonds offer the great advantage of having many models to choose from for your future transactions. Investing in equity markets is another option.

Value values

This is the last option available to you at the moment, and it's based on investing in stocks with value that have depreciated in recent years. One of its advantages is its much higher potential for appreciation compared to other listed companies. Furthermore, it's also worth highlighting the fact that these stocks pay a good dividend to their shareholders.

With the real possibility that the value could rise to its target price within a few years, potentially by 10% to 20% in some cases, these are stocks that should always be included in your portfolio. They represent a great business opportunity in the equity markets to generate returns on your available capital. Furthermore, this is one of the latest trends in the financial markets and outperforms other investment strategies.

Stock trading: Christmas rally

Finally, you cannot forget to buy shares in the last days of the year because this is when this upward movement occurs that raises the price of the valuations of listed companies. At levels that can reach 15% or even more in the most aggressive cutting proposals. It is a limited trend but it almost certainly guarantees a good performance because it develops in almost every year over the last or the last two months of the year to end at the beginning of January. In addition, it is one of the latest trends in financial markets and above other investment strategies.


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