7 best investments to make in 2019 By CIOReviewindia Team

7 best investments to make in 2019

CIOReviewindia Team | Monday, 15 July 2019, 05:31 IST

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7 best investments to make in 2019

There are a ton of benefits you get from an investment. First of all, you can get some extra income of it. Secondly, you can use this money as retirement money and thirdly the money can really come in handy in case of any emergencies or financial constraints. The basic concept of an investment is to grow wealth and that is why it is rated so highly by some of the greats like Warren Buffet.

There is however some things you will have to consider when making an investment and those are time and risk. As an investor or someone looking to invest, you should know that this is not a get rich scheme and therefore you will need to give your money time to grow. You should also be aware that there will be risks and the decision you make will depend on which type of investor you are; a risk taker, risk averse or risk indifferent. The following are some of the best investments you can make in 2019.

1. Certificate of Deposit

Certificate of deposits, commonly referred to as CDs, are given by banks and basically allow you to lock some amount of money in your account for a specific period of time. This can be months or even years. Now we know you probably think that doesn’t a savings account do the exact thing. Well, here’s the difference, with CD’s you lock the money and therefore will not be able to withdraw it until maturity.

In addition, you get higher interest rates compared to savings accounts. Now if for some reason you want to withdraw the money, you will be charged a penalty and it is usually hefty. This is because when banks take this money they usually put it in a pool of other amounts which they know won’t mature until a specific time and invest the money. Given the high interest rates, this is a great way to invest the idol cash sitting in your savings account.

2. Stocks

The stock market is a wonderful place to invest your money. This is where most investors seek to make long term investments. Buying a stock simply means that you are now an owner of a small part of that company and so every time the company makes profits you are paid dividends depending on their policy and the shares you own.

If you invested in a company and with time it grows into a popular and high valued company, then your share value rises and if you decide to sell it, you will get more money than what you used to initially buy the shares. While investing in stocks, you should always consider the future for example, for some investing in oil companies may not be part of their portfolio because of growth in greener alternatives. Others however still see growth in oil and gas companies. These are things you should ask yourself.

3. REITS

For those real estate investors, REITS can be a great investment. REITS simply means real estate investment trust and is used to describe the companies which manage real estates. This option is not only limited to current real estate investors but also anyone seeking to invest in real estate for the first time. With REITS, you get to own a real estate but you’re relieved from the strenuous task of managing it. To be on the safe side, try to seek public traded REITS instead of private REITS. This is because the private ones usually have little protection and high costs.

4. Your career

7 best investments to make in 2019

There are many things that may limit someone from further pursuing their career, from financial constraints to new opportunities. The pursuit is not often stopped but rather put on hold to deal with the issues. In 2019, you can try to learn something new or further your career. Building your career or learning new skills increases your value and earning potential. This means you can get better jobs or even start your own business.

5. Treasury bills

Not all investors are risk takers and many like to go the conservative way. That is where treasury bills come in. To raise money to finance projects and pay off debts, the government usually issues out a number of different securities or bills. Such securities are usually safe and therefore a great investment for risk averse investors. With treasury bills, you get a face value discount on the issue and during maturity you are paid your full amount. So this basically means, you buy for less and get full amount on maturity. If for example, you buy a treasury bill worth $4000 for $3900, you will get $100 on the investment on maturity.

6. Mutual funds

With mutual funds, you are able to buy a number of stocks in one simple purchase. This can be great instead of buying a single stock. The stocks however will be selected and even managed by the mutual fund manager. Although a good investment, many investors usually opt out because of the fee charged by the mutual fund managers. More often than not, investors are unable to beat the market because of the fee.

7. Blogging and other side hustles

If you are a great writer, then why not start a blog. You can write during your free time and attempt to monetize the blog. Aside from blogging, you can do a range of other things to earn some extra income. You can create a YouTube channel, do affiliate marketing, publish an eBook or do freelance jobs. These are basically things you can do from scratch and invest time and effort into making them successful.

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