Last Sunday, November 21, the organizers of the next soccer World Cup that will take place in Qatar, held an event to mark the countdown to the start of this competition. With less than 365 days to go until the first match of the championship, and as usual, thousands of fans from around the world will make the trip to the host country. Different sports media indicate that the cost of attending three games will be between $ 120,000 and $ 160,000 Mexican pesos.
It is very common for people who have the idea of attending the World Cup to set the goal of saving a certain percentage of their income on a recurring basis, usually on a biweekly or monthly basis, in order to accumulate enough money for this experience.
For reference, if someone started their savings exactly on July 15, which concluded the 2018 World Cup in Russia and plans to be landing at Doha airport in November 2022, there is a period of four and a half years to gather the resources. If the goal were to have 200,000 pesos, considering an extra mattress, it would be necessary to save 3,700 pesos per month.
This strategy is probably the most popular, but there are also others that achieve this goal more efficiently than traditional savings. As an alternative, those 3,700 pesos a month can be invested in indices or exchanges of different geographies, seeking to obtain a return on said resources.
The first example is another Asian country, Japan. If you look at the performance of the Topix index from July 2018 to today, it has paid an annualized return of approximately 9.5%, this means that, with the profits from investing in this country, the objective would be achieved in four years and six months before of the target date.
The second option before reaching the World Cup is to make a financial scale on the European continent by reviewing the Eurostoxx600 index, which has had an annualized yield of almost 12%, with which the investment objective would be reached in three years and nine months.
As a last alternative, you can invest in the United States through the S & P500 index, which has had an annualized return of about 20% and with this, the budget to go to the Qatar 2022 World Cup would be complete in just three and a half years.
This type of investment can be made through the different investment funds offered by various institutions that operate funds in Mexico and best of all, in many of these, it can be done easily and quickly from the mobile phone.
No matter what the objective is, the most important thing is to know what the investor profile is and determine from the beginning of the investment the term to which it will be subject. Likewise, it is important to know the implicit risk that each region or type of asset has to avoid “scares” during investment.
This example has implicit concepts such as “time value of money”, “annualized yield”, “reinvestment”, among others. The idea is to show that anyone has scope for different instruments to invest, that the period they determine is the correct or necessary one to grow their capital and be able to obtain the best possible results.
The combination of perseverance, being open to different products and having a better financial culture, will serve to achieve economic goals in a successful way. Without a doubt, the Christmas bonus can be an excellent starting point to make an investment and why not, start saving to live the experience in the 2026 Soccer World Cup.
* The author is VP Asset Allocation of BBVA Asset Management.
Reference-www.eleconomista.com.mx