In the modern economic reality, one of the main factors contributing to attracting investment into the economy, increasing production rates, increasing the standard of living, welfare of the population and ensuring economic development is a favorable investment climate. At each stage of development, other factors appear that affect the state of the investment climate and increase investment activity. These include political and economic risks, internal and external conflicts.
The purpose of the study is to assess the investment climate in Russia, develop recommendations for ensuring a favorable investment climate.
The study involves identifying the problems of the investment climate. The proposed recommendations can be considered for use in a comprehensive methodology for increasing investment activity.
The theoretical basis of the study is the methodological approaches of domestic scientists to the problems of forming a favorable investment climate in modern conditions. The study used methods of scientific knowledge and system analysis (deduction, induction, analysis, synthesis); graphical and statistical methods.
Interest in investments, as well as in the preservation and increase of capital, arises simultaneously with the appearance of this capital. In addition, investments are a source of high profitability and passive income.
Investment activity means investing funds or property rights both for the purpose of making a profit and for "another useful effect". An investor can be an individual or a legal entity, as well as the state itself.
With this definition, investments are essentially the acquisition of an asset. The purchase of an apartment or a car for the purpose of resale, the purchase of currency, jewelry, equipment for work - is an investment activity. Spending with an unobvious benefit - on environmental support or education - is considered an investment.
Organizations need third-party investments to develop. To attract investors, companies can change the form of organization, for example, become public joint-stock companies, placing shares on the stock exchange.
Basically, the attractiveness of a company is determined by the possible benefit for investors - financial stability, key indicators, competitive advantages. The development of the brand and goodwill (good reputation) in general contributes.
The attractiveness of a company is influenced by commitment to environmentally friendly technologies, high corporate culture, a strong personality in the management. The tools for attracting investors also depend on the scale of the enterprise.
Investing is always associated with risks. When choosing tools, a novice investor may encounter financial pyramids, fraudulent schemes, and incorrectly assess the risks of investing in property. Legislation partially restricts individuals, not allowing them to freely make transactions with any instruments. Some restrictions are also associated with the structure of the stock market itself.
On the stock market, a private investor cannot buy securities directly - this requires the services of a broker. At the first stage, a brokerage account is opened. Brokerage services are paid - the investor pays the intermediary a commission for transactions, but there may be other payments, for example, for maintaining the account, replenishment and withdrawal of amounts. The broker can also become a trusted manager - he will make decisions on the distribution of funds between assets in exchange for an increased commission. This option is suitable for investors who do not have competence in the intricacies of the stock market and financial instruments.
The most familiar and safe instruments are available to investors with almost no restrictions: buying real estate, getting an education, opening deposits. Individuals can invest in precious metals, collectible and investment coins. It is more difficult with foreign currency - the rules for handling it often change, especially with regard to "unfriendly" currencies.
On the stock market, individuals have access to shares, bonds, shares of exchange-traded funds and other instruments. However, only qualified investors can use all the opportunities. To obtain such a status, you need a special education, experience working with securities, large capital, and compliance with other requirements.
Unqualified investors are prohibited from transactions with securities of companies from "unfriendly" countries. To access some instruments, you need to pass a test and confirm your knowledge of the instrument. For example, this requirement applies to foreign assets and high-yield bonds.
