The current state of the economy is characterized as extremely unstable, so many of us are concerned about the question – where to invest money in order to earn good money?
The content of the article:
- About the relevance of investing your money
- What to choose – reliability or high income
- 5 stable investment options
- 5 very profitable options, but with a high risk
- Three key factors to consider
About the relevance of investing your money
Significant fluctuations in foreign exchange markets, a decrease in the level of production, military conflicts, stagnant or crisis phenomena in the country’s economy negatively affect the financial situation of the population.
Therefore, the issue of investing personal capital is one of the most relevant for both entrepreneurs and the general population.
What to choose – reliability or high income
So, where is it better to invest in order to get the maximum benefit for yourself?
After doing a little analytical research, a potential investor can give preference to either reliable or highly profitable investments.
5 stable investment options
1. Bank deposit Is the most popular way to generate passive income. Deposits are protected from inflation and are subject to government guarantees. The interest per annum on the deposit in Russia ranges from 7 to 12%.
2. Foreign currency Is a highly reliable financial instrument. It will help an experienced entrepreneur to make money on the difference in exchange rates, and an ordinary person to avoid the effects of inflation.
Basically, these are deposits in euros and US dollars. The percentage of payments on such deposits depends on the amount and term of the funds being placed.
3. Bonds – a relatively reliable asset, in which there are practically no risks, but the income is not so great either.
Worth consideringthat the reliability of debt obligations is directly proportional to the reliability of the business entity in which you will invest.
In this case, where to invest your money to make money? The best partner in this situation will be the state, large companies or corporations.
4. Real estate – a fairly reliable asset, but with reservations. When investing in real estate, you need to take into account the economic and political situation in the region, the adequacy of prices and the prospects for obtaining passive income.
Besides, you need to be prepared for probable losses (the object must be maintained, it can be idle, without bringing any income to the owner, or it can fall in price).
five. Banking gold or other drag. metals.
5 very profitable options, but with a high risk
1. Investing in securities, you should pay attention to their type (common, preferred shares, etc.) and the issuer.
2. Microfinance organizations – financial institutions and organizations that accept depositors’ funds and lend them to individuals or business entities. Such investments have higher returns than similar bank deposits, but they do not have any guarantees.
3. Your business. The best option, but the risks are great, if you do not draw up a competent business plan and think carefully about each step.
4. Stock speculation… In other words, playing on the foreign exchange and financial markets, investing in PAMM accounts can bring incredibly high income even with minimal investment.
But at the same time, due to its poor predictability, it will entail a complete loss of personal funds. Plus, the player must perfectly be able to analyze the market…
5. Trust management – transfer of the invested funds to the management of another organization or individual. The payment for such services will be a percentage of the profit, which is very often quite high. In addition, there is a risk that is not only investment, but also fraudulent.
This publication provides for consideration of the main criteria for choosing the most optimal instrument for investing funds from the perspective of a private investor.
Three key factors to consider
When in doubt where to invest money, you should pay attention to three key factors: economic forecast; the amount of capital invested; personal qualities and priorities of the investor.