NUSADAILY.COM-JAKARTA-Bank Indonesia interest rates have just decreased. The public needs information related to the suitable investments in this situation. Considering BI lowered the BI 7-day Reverse Repo Rate (BI7DRR) to 5 percent. There have been four consecutive cuts in BI interest rates since July 2019.
Quoted from Kumparan.com, Head of Business Development Division, Henan Putihrai Asset Management, Reza Fahmi Riawan, explains the reasons why it is now the most appropriate time for investment. Banking deposits are considered to be unattractive.
“Actually, there are many types of investments in Indonesia, and by the help of fintech, it is also very affordable and easy to follow and learn,” Reza told kumparan.com, Sunday (10/27).
Reza explained, there are several investment products that can be tested at this time. Ranging from short to long term. For financial investments, there are two good ones for the long term and one for the short to medium term.
“Long-term bonds and mutual funds, while the short-term medium are stocks,” he said.
For long-term investment in the form of bonds and mutual funds, according to him, is interesting because it is a good choice. It is relatively safe and the yield or yield is far above the reference of interest rate, at least 7 percent.
While stocks, he said, could also be a profitable investment option.
Especially if it’s done since young, the opportunity ahead will be promising.
“Beside the high expected returns, seriously being in stocks will make us more updated on the market, both technical and fundamental,” he said.
Nevertheless, he reminded stock investors still need to be careful. Since the risk obtained is also high.
For the beginners, he said, especially employees can start by saving 10-20 percent of their monthly income by buying mutual fund products. Or if wanted to be expanded into two, it can be money market mutual funds and stock mutual funds.
“But if it turns out there are remaining funds that can be used for investment, try stock trading. It can be started with blue chips which are performing well, “he said. (Kumparan/ cak)