Are you looking for where to invest money? You came to the right place.
Today people have a greater knowledge about money. For this reason, there are more and more options available where to invest money. This should be very positive, and although you do have its benefits.
Is not always that way. Surely you are wondering why? And I mean that having so many alternatives, it is often difficult to decide on one or more. If this is also your question, and you don't know where to invest money. The first thing you need to know is what type of investor you are.
Types of investors
There are basically 3 types of investors, which are classified depending on the risk you are willing to assume. The word "risk" may have set off your alarms, and this is normal. Remember that every investment has intrinsic risks that you must consider.
And that in general, the higher the risk rates, the higher the profits. Now, if your question is, what type of investor are you? There are different tests that can help you know which group you belong to.
In this way, you will be aware of the risk you are willing to take, the terms you can bear and of course, the profitability you hope to obtain. Next, you will know the 3 types.
- Conservative: If you fall into this category, then you value the safety of your investment more than the profitability. In general, the place where you are going to invest money has to have defined benefits and minimal risk.
- Moderate: If you consider yourself a moderate investor, you are usually much more willing to take the risk involved in investing money to obtain a greater profit.
- Risky: You are a person who knows where to invest money. Also, you are not afraid to take huge risks to make big profits.
If you are ready to embark on the investment journey, these are some of the options where to invest money.
1. Company shares
Many companies grant certain securities in order to be able to finance themselves. Investing in company stocks is generally a deal that gives you certain rights and benefits.
Usually, when these types of shares are bought, it is to wait to be able to sell them in the future at a better price to receive dividends.
Now, one of the benefits of this option is that you can choose for yourself the company in which you want to invest. Also, stocks tend to sell quickly creating a high degree of liquidity. However, they are often at high risk due to their volatility.
To invest in stocks you will need a broker!
2. Invest money in the stock market
When thinking about where to invest money this is one of the first options that come to mind for experienced investors. In the stock market you can invest in stocks or funds, both with a high degree of liquidity, and very good profitability. However, they are considered very volatile.
Diversification is the key to investing in the stock market!
3. Real estate: an option to invest money
Buying a house, flat or any piece of land that involves a property is an excellent place to invest money. This is because you can sell it for a higher price or use it to generate passive profits if you decide to rent it.
You can also reform the house so that its value increases when you want to sell it. Investing in real estate is an excellent option with more controlled risks! If you are interested in this alternative, it will help you to take a look at the new mortgage law .
4. Robo advisors: an investment alternative
These are automated investment managers that adapt to your investor profile and are usually long-term.
In general, in this modality, analysts and algorithms offer you a list of products and / or services where you can easily invest money. They are usually low-commission products like index funds or ETFs.
5. Invest money in Crowdlending
It is a system by which you can invest in companies or individuals, with a small investment you can obtain interest. This option is excellent because you know the interest percentage and the investment time. It is generally very diversified, quite safe, and you can choose the risk.
If you are determined to invest you must be very careful because your money is at risk. Also, the best thing is that you never invest money that you are not willing to lose.