Quarterly Update Fumbi Index Portfolio – September 2022
Another three months have passed, during which our experts at Fumbi have been actively analysing the cryptocurrency market situation to provide investors with a portfolio made up of the best available cryptocurrencies on the market. To this end, we have updated our flagship product, the Fumbi Index Portfolio. We have added new assets with technological and growth potential and eliminated those that no longer meet our strict selection standards.
In the current difficult situation in the cryptocurrency market, it is essential to actively analyse the market and follow the current development trends in the world of cryptocurrencies, which can generate high returns for investors in the future.
It is during market downturns that the strength and stability of individual crypto projects will be shown. Therefore, investing in a multi-asset portfolio is important where the risk of failure and loss of your funds is significantly lower.
Our actively managed and diversified Fumbi Index Portfolio is an ideal solution for both beginners and advanced investors. It tracks the development of the entire market, providing investors with the opportunity to generate income from multiple assets instead of investing in just one asset.
At Fumbi, we provide you with the possibility of regular monthly investments in a dynamic rebalanced investment portfolio through our product Fumbi Index Portfolio with a deposit starting at €50.
Which Cryptocurrencies Did We Add to the Portfolio?
We carefully analyse the current situation in the cryptocurrency market for you every day to add new assets with high growth and innovation potential to our portfolio. During the September update, we added the following asset to the portfolio:
- Binance Coin (BNB) – BNB is the native cryptocurrency of the Binance exchange, which was originally created as an ERC-20 token on the Ethereum blockchain, but currently operates on the Binance Chain blockchain.
Which Cryptocurrencies Did We Remove From the Portfolio?
Part of the portfolio update also includes the removal of cryptoassets that no longer meet our strict selection conditions. In addition, we decided to delist some cryptoassets due to low activity or low market return compared to the competition in recent months.
The delisted cryptocurrencies are:
- Axie Infinity (AXS)
- Maker (MKR)
Four Important Tips to Help You Manage Your Investments Effectively
- Set your investment goal – Keep in mind that investing in cryptocurrencies is not a get-rich-quick guide. This was perfectly demonstrated during the collapse of the market in recent months when the prices of some cryptocurrencies fell by 60-80%. Strong corrections in the market can represent an opportunity to establish or expand your investment portfolio. However, do not forget to set your investment goal and see cryptocurrencies as a long-term run and not as speculation.
- Emotion aside – Don’t let emotions control your investment decisions. Avoid emotional selling during market drops, and try to use the drops to expand your portfolio. Being a successful investor does not mean getting rich overnight but building wealth based on long-term, rational, purposeful investing.
- Avoid FOMO – FOMO is the fear of missing out on the investment opportunity of a lifetime. Investing under the influence of the FOMO effect can force you to buy a cryptocurrency that you would not normally even consider. The same is true with the significant growth of cryptocurrencies when the fear of missing out will cause you to buy a cryptocurrency at its price peak. Avoid the FOMO effect and instead invest regularly and for the long term.
- Long-term investing is the way – Investors should not enter the market just for quick profits or short-term speculation. The ever-evolving cryptocurrency technology is still in its infancy. Still, with growing adoption, it can be expected that more and more investors from traditional financial markets will show interest in cryptocurrencies.
How do we choose cryptocurrencies?
At Fumbi, we follow strict rules for the selection of cryptocurrencies that enter our portfolio. In addition to formal criteria related to liquidity, market capitalisation or escrow, assets must have strong fundamentals within three categories that we identify as key in the market: payment systems, decentralised finance and Web 3.
You can read more about the selection of our portfolio in this article.