When you think of some of the most wealthy people in the world — Bill Gates, Warren Buffett, Mark Zuckerberg — you might think of their great accomplishments. Their wealth may have started from a business, but they maintained it through their investments.
This is the same no matter what you do for a living. Investing is the best way to generate wealth that will last the rest of your life. You’ll never regret setting aside a few hundred dollars that will turn into thousands. It will give you money to pay for flowers and dresses for your daughter’s wedding and books and tuition for her college education.
Many people want to invest, but they don’t know where to start. Here are a few places that you can successfully grow your money right now.
Stocks
This is a basic standard for today’s investors. It’s true that the stock market can be somewhat of a risk. You could invest $1,000 and lose all but a few hundred. Historically, however, those who stick with the stock market tend to win back what they lost and then some.
The key to successfully investing in stocks is knowledge. It starts with carefully researching investment tactics, high-performing stocks, and successful investors. You can also us an ADX indicator to help you keep an eye on trends. This will give you insight about what and when to invest.
Investing expert Jeff Rose explains in a Forbes article that you don’t need to invest a lot of money in the stock market to find success.
“Nobody is telling you to pour every extra cent you have into stocks,” he says. “Instead, I’m suggesting you invest small sums of money over time.” That time period could be a few months or a few years, but the consistency of small sums reduces your risks and maximizes your profits.
Real Estate
Most great investors highly recommend investing in real estate. It’s a great way to diversify in a more stable market.
“The best investment on Earth is earth,” said Louis Glickman, the late New York-based real estate investor.
Real estate is one of the more stable markets you can invest in, meaning the risk of loss is lower thanks to the constant appreciation and the many revenue streams. You can flip, wholesale, resell, or rent your property, just to name a few.
You’ll get substantial tax benefits with property ownership that increase your earnings. It’s also one of the few investments you can make through leveraging someone else’s money. This enables you to make larger purchases with a higher profit potential.
Success in real estate requires an understanding of the market. Know which locations have the highest yields and keep an eye on changing trends to identify when to buy or sell.
Peer-to-Peer Lending
Peer-to-peer lending is gaining a rapid following thanks to the high return rate. It allows people to get funding without approval from the bank. Instead, they get their funds using money that has been pooled by investors, and the investors make their money on the resulting paid interest. The typical investor makes upwards of 6 percent on their investment, which is a great place for amateurs to start.
With this investment, you can put down a small amount of money, and then profit without a lot of leg work. Many members of peer-to-peer lending investments start with as little as $1,000 down. You’ll be making money in your sleep while letting your investments grow.
Investing takes knowledge and time to be successful, but it’s the fastest and most reliable form of building wealth. The sooner you start, the more money you can bank.
