MONEY.HU: Hungarians are optimistic about their financial situation

By: Trademagazin Date: 2024. 07. 11. 12:10

According to the latest quarterly population survey of the Magyar Nemzeti Bank (MNB), households are increasingly optimistic about the coming year, which suggests a more favorable financial situation and new savings opportunities. In light of this, money.hu’s experts reviewed the best current investment alternatives, especially options beyond premium government bonds, which have been the hit products of the past period.

According to the latest data from the MNB, the perception of the financial situation of households gradually improved by the beginning of 2024: while in the second half of 2022, nearly 60% of those surveyed felt that they were in a worse situation than a year earlier, by the beginning of 2024 this proportion had decreased to 38%. Almost half of the respondents now feel that they are in a similar financial situation to a year ago, while 17% of them even rate it as better.

Looking ahead to the next 12 months, over 20% of people of working age expect a better financial situation.

Regarding future expectations, Levente Korponai, head of money.hu, emphasized: “Based on the MNB’s Inflation Report and money.hu’s analyses, diversifying household savings, especially combining government securities and the stock market, may be one of the best solutions in the coming year. The improvement in the economic situation, the decrease in inflation and the optimism of households create a favorable environment for taking advantage of investment opportunities.”

According to the MNB’s data, a significant part of the interest income from government securities, more than HUF 1,400 billion, is now waiting for new investments. In addition, more than 65% of those receiving interest income plan to save their share, while 47% would invest again in government securities.

“A significant part of household savings has landed on the government securities market in recent years, thanks to the exceptionally high yield promises, especially in the case of Premium Hungarian Government Bonds. However, with significant interest payments, investors are no longer able to reinvest the received interest under the same conditions, so many are now looking for other options”

– said Szilárd Buró, head of financial innovation at Equilor Befektetési Zrt., partner of money.hu.