Businessman is deeply reviewing a financial report for a return on investment or investment risk analysis.
Did you know that less than 60 percent of Americans report owning some sort of stock? Although investing is one of the best financial instruments to build your wealth, many people feel intimidated by the prospect.
One of the biggest keys to keeping your money safe is to diversify your portfolio with things like alternative investments. Read on to learn more about some of the best alternative investments you can make.
1. Real Estate
Real estate is a great investment because people always need homes and commercial buildings. For residential homes, you can buy buildings to rent out and pay off the mortgage, so the initial investment will be much less.
You can also invest in fixer-uppers and flip them. Most flippers will spend a few months working on a home and mapping out a plan to sell for a profit for someone who wants a home that is ready to move into.
2. Gold
One of the most appealing aspects of gold is that it holds its value over time. Unlike other investments, it will not tank at the whims of the stock market. Before paper currency, gold was used for millennia as its own form of money.
Try investing in a gold company, or items like the Centenario gold coin. For a more hands-off approach, make the choice to invest in gold exchange traded funds, or ETFs.
3. Fine Wine
If you want a unique but lucrative way to invest, then try looking into fine wine. One of the downsides of this financial opportunity is that it is very difficult to locate fine wine that will be worth investing in.
However, the demand for fine wine continues to grow worldwide. Once you find the right company, you can expect your investment to steadily grow over time.
4. Cryptocurrency
Cryptocurrency has skyrocketed in value and popularity over the past decade and shows no signs of slowing down. Although it is still in its infancy stages, it can contribute to a diversified portfolio that will increase over time.
Although cryptocurrency can be very lucrative, it also carries some risks. Cryptocurrency is more likely to experience market volatility compared to other, more stable investment alternatives.
5. Venture Capital
Are you interested in new ideas and business concepts? If so, then venture capital may be your best when it comes to alternative investments.
The venture capital investments involve backing startups for a share in the company or even influencing the management of the company. Venture capital funds are similar to crowdfunds. Use a venture capitalist to find funds that interest you.
Consider Alternative Investments Today
If you want to change up your investment portfolio, it should not be difficult to decide what to invest in. With these and many other alternative investments, you can diversify your portfolio and grow your wealth.
Money matters do not have to be complicated. Our site can give you all of the information you need to find success in the financial world.