Good places to invest money – do they exist? According to popular myth, investing is virtually impossible without the risk, at least if you want to expect large profits. Among these are Forex, stock market and other risky investments. On the other hand, we have investments that virtually barely overcome inflation. Are the best places to invest money not what this site discusses? Well, maybe good, safe and profitable investments at the same time do not exist?
The first thing that debunks this myth are CD deposits. How to invest in CDs in order to make any money? It turns out that investment optimization can provide us high, stable and secure income. What is optimization? It’s a selection of the number of CDs and the amounts paid and schedules so that bank rounds up your profits. This allows you to earn up to almost two times more than the bank promises. It’s still not much but at least your money is super safe. However, month after month opportunities for decent earnings at CDs decreases. That’s why better option would still be an investment in mutual funds.
Any other safe and good places to invest money? If you don’t fully understand stocks and bonds, you might not know how to choose successful ones. With mutual funds, the fund manager picks the stocks, so you don’t have to worry about spending any time researching stocks. This doesn’t mean that you will automatically earn a high return because an expert is running your portfolio. The stock market is always risky. What this does mean is that you get a well diversified portfolio without having to purchase many stocks that you choose. For many people, buying 100 shares of stock at a time is just not possible. Even if they were able to afford the stock, they would only own stock of one company which is not diversified. If you can only afford to invest $1,000, a mutual fund is perfect for you because you can invest in stocks and maintain a diversified portfolio.
Good places to invest money are properties
One of the safest and good investments is real estate. I hear you say: “How is that, if property prices fall?”. Well, properties let you get paid even if their value does not increase. History shows that each new depression in real estate prices is higher than the previous one. Furthermore, you can have profits from the rental, which should repay the loan and pay the cost of repairs and maintenance of property. You can even earn a little on that. The real profit lies, however, in tax reduction. Depreciation of property worth 400,000 can be tax-deductible for as much as 10,000 dollars per year. Furthermore, the profit from renting has lower interest rate than other forms of revenue, which adds to another secure earnings.
- best place to invest money