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The difference between investment success and failure: the financial advisor

We live in an era of economic and geopolitical uncertainty, where the financial fate of many nations is being tested by a series of unprecedented challenges. Italy is not immune, with a public debt weighing on the country’s shoulders and an unstable geopolitical situation fueling uncertainty in financial markets.
According to the 5th Assogestioni-Censis report, presented during the Salone del Risparmio, it is the global concern over war tensions that has prompted 44.2% of savers to revise their investment strategies, while 45.7% are uncertain about the future of their savings.

“In a context where the growing interest in global events generates
a widespread state of uncertainty,
savings represent one of the main sources of security,”

sostiene Giorgio De Rita, Segretario Generale del Censis.

But how do Italians save?
In 2023, the financial wealth of Italians increased by 80 billion euros, reaching a total of 5,216 billion (552 billion more than in 2019, before the pandemic). According to the Findomestic Observatory, in fact, 37% of the population manages to save, and inflation has increased this trend. However, few choose to invest and opt to accumulate for unforeseen expenses.
And when they venture into investment, they often do so in a careless manner. Most investments seem to focus on the real estate sector, which still accounts for 94% of Italian families’ non-financial wealth, or in interest-bearing accounts or in the purchase of Treasury Bonds (BTP).

The main problem lies in the concentration of savings in a few assets, while other investment opportunities that could offer greater advantages are ignored.
From 2011 to the present day, despite the European debt crisis of 2011-12 or the Covid-19 pandemic, the Italian stock market has recorded a 50% increase. The United States stock market increased by 279% over the same period. An enormous potential that could lead to much higher returns in the long term compared to other assets, but which is not considered due to the tendency of Italian investors to focus on assets “perceived” as safer.

And managed savings?

Italy is still a nation of savers, it’s true, but excessively concentrated and maneuvered savings without adequate professional advice risks, in the long run, undermining the capital of savers. Seven out of ten Italians are still considered financially illiterate: a fact that should warn against blindly following self-proclaimed experts, or advice from friends and relatives, who propose easy and safe investments without adequate understanding of financial risks and returns.

Relying on a financial advisor truly means investing in one’s own future, and it can make the difference between the success and failure of one’s investments. The risk associated with managing finances independently is too great, especially considering the complexity and volatility of modern financial markets.
A study conducted by Assoreti and the Bank of Italy revealed that Italian households who relied on financial advisors or other professionals in the sector achieved an added value of +165% during the period between 2012 and 2022, compared to a modest +14% for those who did not benefit from such professional support
Our team of financial advisors in Pistoia is committed to providing tailor-made advice, always taking into account the specific financial needs of each client.
The collaboration begins with a thorough analysis of your portfolio and a comprehensive assessment of your financial situation, also through the use of the most advanced and technological advisory service in Italy: Fideuram’s “Consulenza Sei,” recognized as a benchmark for all industry operators.

We work together to understand your long-term goals, your
concerns, and your financial priorities,
to develop a personalized and effective financial plan.

Our in-depth knowledge of financial markets and the best investment strategies allows us to help you avoid hasty decisions or decisions influenced by emotion, ensuring that your investment plan is:

  • Long-term: as financial advisors, we can only encourage a long-term perspective, based on clear and well-defined financial goals. This approach aims to create a solid financial foundation over time, allowing clients to navigate momentary fluctuations and plan for the future with confidence and security.
  • Diversified: one of the fundamental aspects of financial management – if not the most important – is portfolio diversification. Only an experienced and duly certified financial advisor knows how and where to allocate resources optimally to reduce overall risk and increase the likelihood of achieving consistent returns over time.
  • Constantly monitored: as financial advisors, we ensure continuous monitoring of portfolio performance and financial markets, aimed at observing trends and emerging opportunities. This allows us to adapt and update the client’s portfolio in real time, optimizing investment performance and minimizing risks.

Want to learn more? Do you need further details or would you like to schedule an appointment with one of our financial advisors in Pistoia? Don’t hesitate to contact us for advice or to find out how we can assist you in managing your finances!