Money and Investments
You need money to make investments, and investments make you money. You need to make the right investments before you make any money, though. Some investments will lose you money faster than you can flush it down the toilet. So, you need to be careful about the investments that you make.
You can research online and find many people who will want you to invest in what they have. You need to be careful since there are stockbrokers on every corner wanting for you to invest with them so that they can have a part of your money. Look into companies like InvestingInGold.com that can help you to invest in gold and other precious metals. They have very good reviews and can also help you to find other investments that might be good for you.
There are many ways to invest your money wisely and you should hire a professional to help you. You also have to decide which investment is best for you at this time in your life – some investments are better than others during your retirement, for example. You also want investments that will pay off when you need them to – it doesn’t do you any good if you can’t liquidate your investments quickly.
Best Investments for Any Income
- High-Yield Savings Account
A high-yield savings account can earn you up to nearly 5% on your savings – this is a safe investment because you are not risking anything other than your time. Some of these accounts only earn you up to 3%, but they are still earning you money as you save. This is something that you would be doing anyway, so choose a high-yield account to save your money in.
This type of account is good for people who are only saving money for a short time, such as for a vacation or a dream wedding, or even an emergency fund. This would not be good for saving money for your retirement, you just will not earn enough for something like that.
- Certificates of Deposit
A certificate of deposit, or CD, is another way to earn some money on your savings. This account is federally insured account and it has a fixed interest rate for a specified amount of time. It will pay you up to around 12% interest on your savings which is a good percentage rate for just sitting in the bank.
A CD is good for people who want to save for the down payment for a home or possibly a car. CD’s are usually for lengths of up to five years and can earn you a little interest on your savings. This is still not a good option to save for your retirement or something like that because it is for short term savings.
- Series I Bonds
These bonds are simple investments for people and have a way to fight inflation. It has an interest rate to begin with, but if inflation goes up so does the payout for the bonds. The bad thing that is if inflation rates go down, so does the interest rate on your bonds. This is good for people who feel that inflation will rise and want their investment to rise, as well.
This is also a good investment for those who want low risk investments. These will pay off at least something even if the inflation goes down. These are good if you have just a little to invest because they have a limit of $10,000 per year.
- Short-Term Corporate Bond Funds
One way for corporations to raise funds is by giving out bonds to investors. These can be bundled into other bond funds that have bonds that are issued by many, possibly hundreds of, corporations. Because they are short-term bonds, they have less likelihood that they will be affected as much by inflation.
These types of bonds are good for retirees who are looking for an immediate return cash flow. They are also good for people who want to reduce the risk of their overall portfolio and yet still want to earn a decent return. This is a good low risk investment for those who want a little more return than government bonds.
- Dividend Stock Funds
Dividend stocks are those that will pay off when a corporation pays dividends, which can be quarterly. Not all stocks will pay you this often, but this type does. This puts all the dividend stocks into one package of an easy to purchase bundle.
This type of investment is good for beginner investors because it reduces the overall risk of the investment. If you are looking for a steadier income with your investment, this could also be good for you. If you can stay invested for a longer period of time, this type of investment will help you to do that and earn money the whole time.
- Value Stock Funds
These are the bargain basement of the stock world for those investors who want to invest but have less to invest with. These are good stocks, but are just more bargain priced for a period of time. They will allow the low priced stock investor to enter the market and save some money.
These funds are good for people who can’t afford to get into the market with higher priced stocks or for those who have money left over from those higher priced stocks. There is a lot of volatility like many stocks, so you should be comfortable with that.
- REIT Index Funds
REIT stands for real estate investment trust and is a good way to get into investing in real estate. These funds will pay out great dividends because they are being taxed at a corporate level. This fund allows you to invest in different types of real estate without having to invest in them individually. You can invest in apartments, offices, homes, and other types of real estate all bundled into one bundle.
This investment is good for low-income investors such as retirees because they can pay out substantial dividends. These funds can also grow over time, so there is a little potential for capital appreciation, as well.
- S&P 500 Index Funds
This fund is based on the top 500 American companies that are the largest and therefore the most successful. There are many top companies that are very well-known that you can invest in. These funds have higher risks than other investments, but they can have higher dividends, as well. These funds are good for investors who want that high payoff and can handle the risks and volatility of the market. This is a good fund for beginners that want to get their feet wet in the market, as well. It will give them a broad and diversified exposure the stock market experience. It is good for investors that can stay in the market for at least three to five years.