3 Investing Strategies You Need to Know for 2021
Are you looking to throw your hat in the ring of investing?
America is certainly a nation of investors, with at least 53 percent of people owning a stock and many others invested in the real estate market.
The case for investing as a means to wealth creation is a strong one. Look at the Forbes Rich List and almost everyone who is there is an investor.
However, there’s no guaranteed success in the world of investing. You have to know what you’re doing. You need smart investing strategies; otherwise, you could be down a quick path of losses.
To help you become a successful investor, we’re sharing a number of investment tips you can put to use this year.
The Stock Market Doesn’t Lie
The vast majority of American investors have investments in the stock market, and for good reason.
Look at this:
If you invested $10,000 in Amazon right after its IPO, the investment would be worth over $15 million in 2021 – assuming you held on to the shares till today.
There are several other examples, but they all point to one conclusion: the stock market is a prime investment destination that can take you from rags to riches in a couple of years.
As such, investing in the stock market shouldn’t miss from your investment strategy. Spend plenty of time researching various stocks before diving in. And keep in mind that investing in the stock market is a patient’s man’s game. The Amazon investor described above wouldn’t have hit those millions if they sold their shares early.
The Real Estate Market Is Hot
Everyone you look, there’s real estate.
Although this market doesn’t promise quick returns like the stock market, it’s still a worthwhile investment. Investors tend to stay away from real estate because it’s capital intensive, but if you have deep pockets, it’s a solid investment to add to your portfolio.
You can invest in residential or commercial real estate. You can also invest in raw land.
Each realty asset class has its own pros and cons, but as a beginner, you’re better off starting with residential real estate. Build or buy a rental unit and enjoy a steady rental income.
While stocks, bonds, and real estate are the mainstream investment markets, there are alternative assets that are just as good.
For instance, have you thought about investing in precious metals? Did you know buying gold is one of the least volatile investments you can make? So are silver and other metals.
When you buy precious metals in their physical form, you must know that precious metal shortage is real and as a result prices keep going up. The sooner you invest, the more profit you stand to make.
Another alternative asset you can invest in is cryptocurrency. Although Bitcoin is the first cryptocurrency that comes to mind, there are tens of other coins you can invest in. Just beware that you’re entering a super volatile market that can make wild moves within hours.
Investing Strategies That Work
Stocks, real estate, bonds, and alternative assets like precious metals and cryptocurrencies provide ideal investment opportunities. When you have these assets in your investing strategies, there’s a good chance you’ll find success. But, keep in mind that there’s risk involved whenever you invest.
Good luck (you need it!) and keep tabs on our blog for more handy tips and insights.