Wealth Management - Top Investment Ideas

Published
07/06/2021

Investment activity is one of the best ways to get recurring revenue. Capital strengthening and investing in various projects can be one of the most exciting and rewarding endeavors in your life if managed properly. Nowadays, there are many different investment options to choose from; however, far from all of them are 100% profitable and rewarding. In this post, we will talk about what to invest money in order to receive a monthly income.

Statistics & Research

Different studies about investment behavior are regularly carried out. In general, the results of such reports highlight the following investment categories:

  • Stocks and other financial instruments - 28%;
  • Residential real estate - 20%;
  • Business - 20%;
  • Cash - 14%;
  • Commercial real estate - 10%;
  • Antiques and luxury goods - 2%;
  • Precious metals - 1%.

As you can see, the popular majority of people give preference to the classic investment option - financial instruments and stock markets. Exchange trading has existed for a long time and has gained great popularity among investors. However, this doesn’t mean that you should only work with financial instruments and that there are no alternatives. You can invest in jewels, gold eagle coins, pieces of art, and many more. Let’s dive deep into key specs of different investment options so that you could have an idea of how much you can earn with each of them and if there are any financial risks for you.

1.   Financial Instruments

Investing in financial assets is a great option. And there are several reasons for that:

  • High reliability - The work of brokers is strictly regulated by legislation and relevant authorities. Therefore, the likelihood of any fraud is equal to zero;
  • High level of income - The average annual growth of the stock market is about 30%, which is quite a lot. No other asset with large investments will bring such income;
  • Possibility of trust management - To maximize profits, you can work with a wealth manager. The latter can give you investment recommendations or even develop an investment strategy for you based on key market metrics and your investment capacity.

Let's pay attention to some of the nuances associated with each type of financial instrument.

2.   Share

It is one of the most popular and time-proven investment assets. Investing in computer technology has been very profitable over the past decades. Thus, for example, Microsoft shares have grown by more than 3 times for 8 years (from 2010 to 2018). The total profit would be about 355%, and the approximate annual income would reach 44,3%. Another example is Amazon stock, which has grown from $ 40 to $ 1,800 in the last 10 years. The total profit would be 4,500%, with the approximate annual income reaching up to 450%.

3.   PAMM Accounts

The Forex industry provides multiple investment options. PAMM accounts are trust management for experienced traders who have earned their authority by showing real trading results over a period of time. It seems to many that little money is being invested in them, but this is far from reality.

4.   Real Estate

It is the most typical way of investing money all over the world. Dwelling services have always been a profitable business even with certain financial contributions. And it does not matter whether it comes to old housing, industrial premises, or commercial estate. Investment in real estate is an absolutely win-win capital increase option. What opportunities does this type of investment provide?

  • Constantly growing market - The number of people is growing; as a result, the demand for housing is always on the rise;
  • High level of investment reliability - It is almost impossible to fail when investing in real estate;
  • The possibility of getting passive income - From renting out an apartment, you can make a profit that is approximately equal to the income from a deposit, but you should not forget that the price for the apartment also grows, which will ultimately exceed the amount of interest on deposits.

5.   Commercial Objects

Investing in commercial real estate is an excellent choice. Nevertheless, the direct purchase of objects for rent is not always the best way to invest in this area. Business experience and a clear strategy for analyzing objects and their relevance are required. The approximate distribution of large investments in commercial real estate is as follows:

  • Office space - 70%;
  • Retail space - 25%;
  • Warehouses - 5%.

Another good option is collective investment in large apartment complexes, hotels, resort hotels, etc.

Final Say!

To make your investments work for you, it is necessary to change your attitude toward money. Many tools are readily available, and the entry threshold is relatively low. The main thing is to learn how to use it.