The investment game is constant. Capital never sleeps, and you should always be on the lookout for great investment opportunities to grow your retirement savings or even your bank account’s cash on hand today. Investments come in all shapes and sizes, so never rule anything out entirely. There are plenty of options around for earning on your investments.
1. The Stock Market
You should always have money in the market. The S&P 500 has risen at an average of 10% per year since the creation of the New York Stock Exchange. The stock market is the perfect place for ‘parked’ capital. Because of volatility outside of your direct influence, the market can act unpredictably at a moment’s notice. Over the length of your retirement savings strategy, your capital will grow at a steady rate and produce a healthy return, but there are other investment opportunities you can take advantage of for more immediate returns.
2. Real Estate
Adding real estate to your portfolio is an excellent way to diversify, and, more importantly, add a diversified stream of return that isn’t linked to the stock market. Of course, you can also utilize the market for this through a REIT (Real Estate Investment Trust), but buying a home to rent out makes for a reliable monthly check. Targeting metropolitan areas like Charlotte or Raleigh might provide you with a high rate of renter interest in the property. Other investors find rural landscapes to be the right draw, such as real estate in Blowing Rock NC. Rural areas can be cheaper to invest in and easier to rent out, so it’s worth contacting real estate professionals who can help you get started with some property in overlooked, but still lucrative, areas.
3. Wine and Guitars
Bottles of fine wine are an underappreciated financial instrument. Many of us simply haven’t done the due diligence on this product because of its primary use in drinking. As a result, we overlook the opportunity it offers. Wine appreciates rapidly if it is stored properly and held for long periods, and there are always buyers in the market for a great bottle. If your home is equipped to handle the delicate conditions required for wine storage you should begin collecting. Otherwise, many companies will do it for you.
Another great alternative investment that goes overlooked is guitars. Both of these are great strategic buys because their stocks are based on production year, and thus in limited supply. Wine is consumed, depleting that reserve, and guitars are played, damaged and scuffed. Buying vintage models in great condition is a fantastic way to maximize a diversified portfolio that will only grow with time. A 1960 Gibson Les Paul—an iconic model—sold for $247.50 in its time. Sixty years later, that same instrument is now worth $175,000!
4. Alternative Investments
On the subject of alternative investments anything from tanker shipments to real estate debt can round out an investment portfolio for high wealth individuals. One important thing to look for in these types of opportunities is the causality between the stock market and your proposed investment. Many financial instruments are linked causally with the market, meaning an uptrend on Wall Street is likely met by an uptrend in the commodity purchased. To truly diversify, you will want to add vehicles that are not linked in this way (Read this Yieldstreet review for more information on decoupled, high yield investing of this nature). If you’re interested in pursuing this avenue, take the time to peruse the Yieldstreet website, as you’ll find a lot of helpful information about alternative investments and the best ways to utilize them as a way to diversify your portfolio.
5. Invest in Yourself
Finally, take the time to invest in yourself. This means adding business casual for women or a great looking suit lineup for men to your wardrobe. Buying clothes that reflect the future you want for yourself will help you find the job you want, which will lead to further opportunities for financial investment. Whether it’s women’s business attire, a pencil skirt, or something more appropriate for casual friday, make sure you’re outfitted to the nines for whichever employment opportunity comes your way.
Investing in yourself may also could take the form of a college education or trade school attendance. You will never regret taking the time to learn valuable skills that will propel you forward in your career and life. For those who relish the thrill of investing over any job, pick up some books on the subject, sink yourself into investment literature and become the best financial analyst you can be. It’s your future, take the time now to discover the best portfolio of investments to suit your risk-reward paradigm and needs.
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