FAQ > Security and risk

What are typical investment indicators?

Gross Domestic Product (GDP)

GDP represents the market value of all final goods and services produced within a country during a given period. The figure is usually given in nominal and real formats, with real GDP adjusting for changes in monetary value. Given its vast breadth, this indicator is among the most watched by the financial markets.

The expansion of a country's GDP is indicative of a growing economy, while a contraction in GDP indicates a slowdown in a country's economy. Meanwhile, a country's projected GDP growth rate can be used to determine an appropriate level of sovereign debt or determine if companies operating within the country are likely to experience growth.

Consumer Price Index (CPI) and inflation

CPI measures changes in the prices of consumer goods and services that are purchased by households. The index is a statistical estimate created by using prices from a sample of representative items collected periodically. Often this measure is used as a gauge of inflation, which can positively or negatively affect a country's currency.

The financial markets carefully watch the CPI figures for signs of inflation. Rising inflation can lead to higher interest rates and reduced lending, while deflation can lead to lower interest rates and greater lending.

Inflation measured by the Consumer Price Index is defined as the change in the prices of a basket of goods and services that are typically purchased by specific groups of households. Inflation measures the erosion of living standards.

Ease of doing business index

The ease of doing business index is an index created by Simeon Djankov at the World Bank Group. Higher rankings (a low numerical value) indicate better, usually simpler, regulations for businesses and stronger protections of property rights. You can read how the index is built on Wikipedia.

What risks are involved in term deposits?

Investing in a term deposit usually involves limited risk because deposit products are secured against the folding of a credit institution by national deposit guarantee schemes.

Will my investment be at risk from currency fluctuations?

Definitely not. Our mission is to become an oasis for anyone who wants to receive predictable returns without unpredictable risk

What is a national deposit guarantee scheme?

Deposit insurance is a measure implemented in many countries to protect bank depositors from losses caused by a bank's inability to pay its debts when due.

Are all the banks secure?

We work with banks thich have a long history on the local market, employ a significant number of people, have a strong capital base and stable future prospects.

What happens if a bank folds?

Learn how we try to avoid such events and how we help you if they do happen.

What happens if Deposit Planet folds?

You are the legal owner of money invested in your term deposits, therefore in an unlike event Deposit Planet folding your money will be fully protected by banks keeping your deposits.