Invest… in what?
Stocks, Bonds, ETFs, Real estate! There is just SO MUCH!
But don’t get overwhelmed just yet. The reality is you won’t be able to invest in everything.
The golden rule to becoming successful at investing in anything is to really understand what you are investing in. As long as you have a good understanding of what is happening with your money within a certain investment you are good to go.
Try to dig deeper, learn the language, walk the walk, and feel really passionate and confident about your choice.
Don’t run away just yet.
Everything learned takes time and practice.
If you don't know where to begin, just pick one thing off the list below. Then start doing a little research. Watch a you tube video or do a simple google search. If it’s not resonating with you and feels too confusing move on to something else.
Here's the list:
1. The stock market:
This is the most common. Investing in the stock market involves buying into companies, which is pretty cool. You can focus on stocks, bonds, mutual funds, ETFs, or all of them.
Stocks: represent ownership in a company
Bonds: represent DEBT you are helping pay off for a company
Mutual funds offer a variety of stocks, bonds, and other assets. They are professionally managed by fund managers who try and “beat” the market to help investors make a profit; however, there is a lot of buying and selling, which costs money.
Exchange Traded Funds (ETFs): offer a variety of stocks, bonds, and other investments in one package. They are passively managed, meaning a strategy to maximize returns by not buying and selling as much, therefore garnering fewer fees.
2. Precious Metals: Gold, silver, and platinum.
Depending on what you own, you can have the actual physical item, a certificate, or a fund for it. This may be fun to add to your portfolio and is believed to be a safe hedge (offsetting risk) against inflation.
Do your research.
3. Savings accounts or Certificates of Deposit (CDs):
A certificate of deposit is a savings account where you leave your money for a select period of time and collect interest. Usually issued by a bank.
4. Peer-to-peer lending (P2P):
This allows investors to provide loans to individuals via a P2P platform.
Track you daily spending
5. Real estate:
As a real estate investor, you are aiming to buy, manage, rent, flip, or sell homes for a profit.
6. Real Estate Investment Trusts (REITs):
This is a company that owns, operates, or finances income-generating properties, such as apartment buildings, commercial properties, hotels, medical facilities, cell towers, warehouses, etc. You can buy most REITs from a broker or a financial advisor.
7. Vacation rentals:
This investment involves managing a home to rent out for profit and potentially having some passive income. It could be more of a hands-on investment, or you can have a company handle all affairs.
8. Real estate crowdfunding:
Individual investors help fund a real estate project.
9. Farmland:
You can buy a farm, a farm REIT, or stocks.
10. Cryptocurrency:
Investors purchase digital currency through a cryptocurrency exchange platform that can be used for online purchases.
11. Equity financing:
Lend capital to a business or buy company shares for a profit.
12. Art/Antiques/Fine wine/Collectables/Coins:
Invest in items that can be sold for more than their original worth.
13. Your own business:
Focus on creating your own financial outcome.
14. Yourself:
Focus on committing time, money, and other resources to improving your current life and future.
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15. Paying off debt:
Yes, it will save you a ton of money. If you have debt, paying it off can potentially be the most beneficial investment you make. Getting rid of that 20% high-interest credit card debt ends up giving you the most money in the end! Allowing you to focus on those other investments.
If you have any other investment suggestions please leave them in the comments below!
