With a time deposit, you invest a fixed amount of money for a longer period of time. In return, you receive a fixed interest rate. The deposit is made as a lump sum. The investment is considered safe. However, the return is comparatively low. A call money account offers an even lower interest rate than a time deposit account. But you can dispose of your money daily.
Gold and other precious metals as well as real estate are considered comparatively crisis-proof forms of investment. Thus, they clearly belong to the conservative investments. They are recommended if you can invest your money with as little risk as possible and do without it for a long time.
Stocks are potentially high-yielding, but also risky. There is no guarantee of profits with stocks. Bonds are also high-yielding, but are considered relatively safe compared to stocks. With them, a certain interest rate on the paid-in capital is guaranteed over several years.
A fund offers greater security because the capital is spread out. The amount of return depends on the skill of the fund manager and the composition of the fund. An ETF often tracks an index. For example, the DAX, the Dow Jones or another index. ETF is the abbreviation for Exchange-Traded Fund.
Certificates or options belong to the so-called derivatives. With these papers investors can achieve very large profits. However, high losses are also not excluded. This form of investment is only for professionals with in-depth knowledge of the market. There is a tool, the so-called "magic triangle of investment", which can help you to find the optimal form of investment for you.
