The National Banking and Securities Commission (CNBV) recently reported that investment accounts in the 36 brokerage firms operating in Mexico grew almost 75% annually in the first semester, a period in which approximately 10.5 million accounts were registered.
What does this panorama tell us? What should you do in the face of this boom? In interview with +Money of Forbes MexicoGerardo Aparicio, director of financial culture at Grupo Bolsa Mexicana de Valores, answered these and other questions.
From their perspective, investment account growth has been spectacular since 2019; He points out that in other years the growth was not greater than single digits, 8 or perhaps 9% year after year. By 2013 there were not even 300 thousand accounts.
“Here we are talking about a person going to a financial intermediary at a brokerage house and opening their investment contract. In the 80s this process was very complex, you needed millions of pesos to open an investment account and it was not a matter that could be solved in a morning; You had to present a significant amount of information, but at the end of 2018, beginning of 2019, many aspects became more flexible,” warns Aparicio.
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It was in mid-2020 when there was a 300% increase in account openings. Let us remember that Covid-19 brought the entire world to its knees, but it also promoted both the digitization of processes and the need to preserve the greatest amount of economic resources. possible.
The rise of information related to personal finances and access to investment platforms also favored the opening of contracts. Nowadays you do not need to have a million-dollar bank account to start investing, you can even have an investment account in your name when you are 15 years old and you can carry out the process from your cell phone.
“Nowadays, without fear of being wrong, it takes you less than 5 minutes to open an investment contract with everything that the law requires, biometric data, an identification of the legal personality that each individual who opens the contract generally has and They ask you for three things: your official identification, your receipt, address and a debit account,” says the manager.
An avalanche of investment account openings
Although this panorama is very encouraging, Gerardo Aparicio suggests taking into account some considerations:
- One thing is the opening of investment accounts that have occurred in recent years and another very different thing is whether that number of accounts really corresponds to the number of people. Perhaps the same person has opened more than one account, so we should not assume that today 10.5 million Mexicans already have a direct investment account.
- Opening an account does not necessarily mean that people are making investments.
“Part of the amount of custody of securities in dollars or pesos has been maintained, that is, it has not grown to the same magnitude as the opening of accounts. This first reflection tells you that there are many open accounts, but not necessarily the vast majority of them already make purchases and sales in the market,” says Aparicio.
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Opening an investment account is the first step, and a very important one, but there is still a way to go. You have to be aware of this and take firm steps to continue moving forward.
“Then comes a much more challenging situation: Start putting your money into productive activities according to certain instruments that are available in the market and that obviously adapt to your investment objectives. Of course, the objectives are different for each person (…) Here comes a very important accumulation of education that must be deepened and I believe that to that extent we will continue to have this traction of contracts opened with the promise that it will continue in the medium term,” he points out.
Key tips for you
These are the tips that the manager gives us to take advantage of the current scenario and get the most out of it.
1. If you want to invest but you haven’t decided yet
Do you want to invest, but you are convinced that you can’t because you live from day to day? That could mean you need to get your personal finances in order. Budgeting, saving and entering the world of investments implies the acquisition of good habits that in the long run become a virtue that will generate good returns and we are not just talking about the economic ones. When saving becomes a habit and part of that capital can be invested to generate more wealth, a person’s outlook and assets benefit greatly.
You have to dare. Gerardo Aparicio is forceful in this sense: “You will never become an investor if you are not willing to take risks, first you will have to know them, choose to take them, quantify them and continue moving forward along the path with that knowledge and experiences as support.”
2. If you have already opened your investment account
Very good for taking that step, now – and despite the fear that this may cause you – you have to put your money to work. Just consider that it is necessary to be clear that the stock market has risks even when it comes to properly supervised institutions, since every investment lives in a planet called “uncertainty.” Nobody has a magic ball in front of them like that to see the future with complete accuracy. You have to research, learn and stay on your toes when it comes to investments.
3. If your account is already growing and you want to go for more
If you have an investment that is growing, congratulations, but you will have to be alert all your life. If you come across an instrument whose rate of return raises doubts or seems too good to be true, find out as much as you can and give it up. The best compass will always be your objectives as an investor.
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