Challenges of a Finnish Equity Savings Account
Baarman, Rosa (2020)
2020
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2020120125427
https://urn.fi/URN:NBN:fi:amk-2020120125427
Tiivistelmä
The purpose of this thesis was to recognize and research challenges of a Finnish equity savings account, which became an investment option recently in 2020. More precisely, the subject was issued from the perspective of special features of an equity savings account. The main emphasis of the thesis is set on equity investing.
Research was carried out through a qualitative research method by calculating different investment situations and forming figures to provide a deeper understanding on how the challenges affect the portfolio profit. Research material was mainly formed by different sources such as public authorities’ websites and professional interview. Sources were mainly electronic due to the lack of current information about the account.
Research findings indicated and is to be concluded that equity savings account does not serve more passive investors investing larger annual amounts or longer shareholding period with less trading nor wider geographical diversification due to the special features of the account.
Account quantity restriction and deposit ceiling limits diversification possibilities through many ways and special political taxation features set boundaries on many investment possibilities. The account in general encourages to high risk active investing and requires share expertise and further consideration before opening an account.
Research was carried out through a qualitative research method by calculating different investment situations and forming figures to provide a deeper understanding on how the challenges affect the portfolio profit. Research material was mainly formed by different sources such as public authorities’ websites and professional interview. Sources were mainly electronic due to the lack of current information about the account.
Research findings indicated and is to be concluded that equity savings account does not serve more passive investors investing larger annual amounts or longer shareholding period with less trading nor wider geographical diversification due to the special features of the account.
Account quantity restriction and deposit ceiling limits diversification possibilities through many ways and special political taxation features set boundaries on many investment possibilities. The account in general encourages to high risk active investing and requires share expertise and further consideration before opening an account.