Make Your Money Work For You: Which Investments Are Worth Your Time? : ThyBlackMan.com

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Make Your Money Work For You: Which Investments Are Worth Your Time?

December 23, 2016 by  
Filed under Business, Money, Opinion, Tech/Internet, Weekly Columns

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(ThyBlackMan.comIf you have a little money put aside for a rainy days, there are a number of things you can do with it to make the most of it. You can save it, for a start; there are plenty of savings accounts to choose from, some of them offering generous introductory interest rates, and this can be a great way to keep your money safe. However, in terms of letting that money build, saving it is rarely the best way to go. Investment, however, is far more likely to be the best option. When you invest your cash, you dramatically increase the chances of it increasing in quantity and value. But that is not to say that investing is necessarily easy or straightforward.

Plenty of people, even those who have a lot of experience in this area, often find themselves being unsure of how to invest. One of the biggest decisions, of course, is what exactly to invest your money in. There are many things to choose from in this respect, and what you decide on will make a considerable difference to the kind of returns you see, the nature of the operation, and how long the whole process will take. Let’s take a look now at some of the best investment opportunities going.

Stocks

This is a classic type of investment, and if you are thinking of investing your money at the moment, it is highly likely that you have thought about stocks and shares at some point. However, you do need to be careful with this type of investment – as with most – as you might end up worse off if you don’t play your cards right. It is also worth remembering that there is always an element of risk involved in these types of investments, so you can’t be sure that you will get a return at all. If you are keen on investing in stocks, it is a good idea to start small. First of all, you want to analyse the markets as best as you can.

This might take you quite some time, as it can be a lengthy process, but it is well worth it for the level of safety that it brings you. Make sure you are certain on what to invest in before you do anything. Then, you might like to consider investing a small amount in something which seems relatively safe. This is the ideal way to start, as if you invest too much you can easily end up losing a considerable amount of money. You might also want to think about asking the opinion of an expert before getting involved in stocks and shares. They will have picked up a lot of information over the years which you just can’t know when you are just starting out. Either way, this can be a potentially very lucrative form of investment, so long as you get it right and luck and fortune are on your side somewhat.

Property

While there is a big luck element involved in stocks and shares, with other investment types much more of the process is in your control. If you are someone who likes having control as much as possible, then this should be something that you consider. A good example of an investment type which you have a lot of control over is property. Now, it does take quite a large amount of money to start investing in property in the first place. But if you have it, then this is probably one of the safest ways there are to properly grow your money. Of course, that doesn’t mean that it is all a walk in the park. Let’s take a look at how to make the most of an investment in property.

The main thing to bear in mind here is that there are always going to be costs to pay. There are so many, in fact, that it is difficult to list them all. First of all, for example, you have stamp duty. This is paid as ten percent of the deposit, and is paid upfront. You also have administrative costs at this point, which vary dramatically depending on the vendor and the agent and so on. But you also have costs once the property is signed for: local taxes, for example, or running costs of the building. These costs, at least, you can do something about. Using a Triple Net property scheme, you can ensure that the tenant, not you, pays all the running costs of the home. This is really a win-win for you, as you have someone paying you rent and paying all of the costs. For more on this technique, take a look at the TripleNet Gateway.

Done right, property investment can be a reliable way to make more of your spare cash. However, it is worth bearing in mind that it can take many years before you see the returns you hope for.

Startups

If you are feeling a little more adventurous, then you might want to consider investing in startups. Startup businesses often have investments, sometimes from venture capitalists, and they are often something that startups rely upon to succeed. If you think you have spotted a startup which looks as though it might do well, then investing in it could be a good way to put your money aside. Of course, it goes without saying that this process is a risk. But it is often a risk which is worth taking.

If you get it right, and luck is on your side a little, you might end up incredibly rich at some point in the future. Imagine if you had invested in Apple in the early days, for example – you would now be very well off indeed. This is not as reliable as the previous two investment types, but it is a viable option for anyone who wants to try their hand with some extra cash. As a general guideline, try to look for startups which are doing something fairly unique, but not completely out on a limb. These are likely to do fairly well in the long run.

Staff Writer; Gary Wilson


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