Every time we make a purchase – investment, we need to clarify beforehand its purpose, the expected performance and the time horizon. Based on the time horizon, our investments are divided into:
• Short-term, usually with a small profit,
• Medium-term, usually with a relatively modest profit rate and
• Long-term, usually with a high profit rate.
But before characterizing a purchase – investment according to the time horizon of profitability, we sgould also have decided the percentage of our total capital that we will devote to these investments. For example, an investment project may have the following structure:
• 10% of the capital in long-term investments,
• 15% of the capital in medium-term investments,
• 25% of the capital in short-term investments and
• 50% of the capital will remain available in Bitcoins (as, eventually, Bitcoin and the expectations we have from its performance, is one of the main reasons for being a part of this market. These expectations may relate to its future exchange rate with the Euro, future arbitrage opportunities, investment support via ADS, and other more cost-effective investments that may emerge along the way).