In today’s time there are many ways to invest your money. From a wide array of options, what are the best ways to invest your money and be assured about it. In this article we are going to discuss about these various such ways of investments for your better future. So lets start exploring some of the best ways to invest your money.
Why investing your money is important?
Let’s imagine you are a working person with a nine to five job, or you are running a small business or something. You are going to work till 55 or may be 60 years of age, and some may retire very soon. So, after your retirement, what is going to make your lifestyle sustain? Well the answer is – YOUR INVESTMENTS. Medical expenses, emergency situations, marriage, travel, children’s education and many more things will haunt you and set you back if you don’t learn how to invest your money properly. Before investing your money you need to learn how to save your money. You can read our article about “how to save your money.”
Things you need before investing your money:
- Term insurance. It will make sure that your investments are secured for that period of time in case of any lapse like situation for your investments.
- Health insurance. You and your family can not totally rely on your investments in case of an health emergency. So, make sure to invest in a good health insurance before starting to invest in any other long or short term plan.
- Emergency fund. Always keep an emergency fund ready for various situations like job loss, business failure, any disaster like situation etc., so that you and your family can sustain for at least a year.
By these methods, you can assure a security for your family and yourself in various emergency situations. Now, lets discuss about the various best ways to invest your money.
Best ways to invest your money:
- FD/RD. Fixed deposits and recurring deposits are the most common and most trusted instruments of investments with a very small risk and almost a stable amount of money compared to inflation rates. Any FD can give you an average of 5% interest rate yearly.
- Gold. Investing your money in physical gold assets has been a major choice if investment for decades. But over time, gold looses its luster and other charges may make gold loose its Rate of Return for long time. So, you can invest in sovereign gold bonds which may yeild anywhere between 7- 10% of return yearly.
- Properties and Real estate. You can invest your money in land, properties and real estate for a long term benefit and returns. But you need to be very smart when investing in Properties and real estate.
- Corporate bonds. Another way to invest your money may be corporate bonds. Just keep in mind that these are high risk investments but can yield up to 8-10% rate of return.
- Mutual funds. We do not know about share market and if we do not possess the required knowledge to invest in share market, then we should go for mutual funds. Various categories of mutual funds can yield you up to 10-20% of returns in a good enough period of time.
- Stocks. Stocks are one of most popular thing to invest nowadays. You can invest by buying stocks of any company and if the share value of that company will increase, your stock’s value will increase as well and give you a good return. Apps like Upstox, Groww, and many others has made investing in stocks very easy now. Read “How to start investing in stocks as a beginner?” to know more about stocks.
- Own Startups. Nowadays you can invest your money in your own startups mostly as a new business. You are thinking to start a new business then we will suggest you sanitary products, hardware, stationary, cosmetics, etc. businesses because these type of businesses have a big margin on the products.
Some other unusual ways:
Why we are saying that these are unusual ways to invest your money is that these methods are highly risky and unpredictable in nature. No wonder that these are Best ways to invest your money but the point is about the risk. Whom of these are-
- Crypto currency. You can invest in crypto currencies like Bitcoin and Ethereum. But these are really very unpredictable and highly risky to invest in such things.
- NFTs. Non fungible tokens or NFTs can also be an option of investment, but this needs you to be highly knowledgeable and really smart to invest in such methods.
- Digital assets. New age generation may be able to buy assets digitally in various forms. Example- assets in Metaverse. But this is actually a very new field to actually really trust and rely upon for now.
In this article we discussed about Best ways to invest your money. For more such informative content do read our articles related to finance on our website.