There are plenty of ways to start making money through investing, and the right method depends on your goals. When you are thinking about long-term growth, remember that long-term growth requires more thought and strategy than short-term does. There are a few good options that can ensure you meet your goals.
Crowdfunded Real Estate
Real estate can be a solid investment, depending on the market and the rate of returns. If you don’t have the funds to purchase a home, you might consider crowdfunded real estate instead. Companies like Arrived Homes have opened up the world of crowdfunded real estate to the masses. Essentially, they allow you to purchase shares of properties. You could invest in commercial or residential. One of the benefits of this option is that you do not have to acquire the entire property, nor do you have to manage the day to day. If you are thinking about this option, you can browse homes online, select one, buy shares, and start earning income.
Putting your money into the stock market can be good when you need long-term growth because it usually goes up over time. Still, not every stock is created the same, meaning you will need to do your research. You might want to go for index funds, since they expose you to a broad range of investments. Indexing also does not cost that much, if fees are of importance to you. Over time, it’s a good idea to reduce fees as much as possible, as they can add up. Still, if you go for equity options such as these, you will need to be able take some volatility in the short-term.
Investing in Yourself
Investing in yourself can also lead to wealth buildup over time and can also help you get away from a financial crisis because you have the ability to improve your career prospects to increase your income. Going back to school for another degree or certificate costs some money now, but it can pay off in the long run, as it can increase your job opportunities. Expanding a business, you already own or starting one are also excellent options. And you might look for other opportunities, such as online classes, groups, or just putting time into learning about personal financial. No matter your path, choosing this option can pay off, no matter where you are in your career.
Just because you are early in your career does not mean you can’t be successful as a business owner. In fact, if you are able to have a successful business now, you will have even more earning years to put into the company and truly see your wealth begin to grow. Spend some time thinking about your long-term goals and then pursue them.
Exchange Traded Funds
An exchange traded fund, or ETF, can be a type of passive investment if you have patience. These have become more popular in recent years, as they have allowed investors of all types to be exposed to the market efficiently and quickly. They also allow you to diversify your portfolio with few costs over time. And it’s easy to get ETFs at nearly any brokerage firm, no matter what type of account you have. Those who want to maximize their returns can do well to choose this option.
It’s still debated whether or not cryptocurrency is a great long-term investment, but if you can tolerate risk well, you may want to consider this option. Of course, you don’t want to puta all your eggs in one basket, especially with something as volatile as cryptocurrency. Instead, consider allocating a small portion of your portfolio to bitcoin. This can help you grow your funds over time, although you shouldn’t expect overnight growth. There are also investment trusts that will help expose your portfolio to bitcoin with more traditional means.
If you are thinking about this option, spend a bit of time thinking about the advantages and disadvantages of this option. Cryptocurrency is a digital asset, meaning it requires a different type of security and safety than other, more traditional methods. If you don’t feel you are up to the task of making the decision, consider hiring an experienced and knowledgeable financial advisor to help you decide.