If you are taking the time to read this bod, you may be interested in building your wealth in the near future, right? Indeed, earning money can be the first step for you to take into your life problems, yet not all problems are solved with money. But having a certain amount of wealth does make it easy for you and your family to live a healthy and prosperous lifestyle.
The stock market can seem like a pretty daunting thought for some. Most financial experts will tell you not to touch stocks and shares unless you truly know what you’re doing. At the same time, there are many ways to build wealth; the most common that you have heard the stock market. Indeed, if you are considering yourself to be at record-high, investing in the stock market can seem risky. Not necessary to say, but the researchers have said that investing in the stock market in the current scenario can be a risky option!
There are other ways to invest; however, without going down the stock market route. We’ve found six of the best investment ideas that don’t require you to buy and sell stock. Before that let us explore the ideas through which you can build money without investing in the stock market!
How to build money without stock investments?
It has been reported recently that half of the stocks that hit the market have only a seven-year lifespan. That means, if you go through the numbers, 50% of the new stocks created wont be around your screens in the next seven years! Also, it is to note the top 4%of the companies which are recognized for having 1000 stocks per year, accounts for almost all the wealth creation in the market. So, if you are looking to pick stocks individually, you are offered a 4 in 100 shot in making the right choice each time you want to invest.
If you go through the suggestions from the recognized financial advisers, you will find that investing in the stock market is smart to build wealth. But, in recent years, while you see the middle of the prevailing market bubble, you will find that it is more of a risk to invest in the stock markets. Fortunately, there are different ways through which you can build wealth without doing anything about the stock investments! So let us get started with the steps one by one!
Bonds
A common misconception about bonds is that they’re part of the stock market. Actually, bonds have their very own market and are a great alternative to buying stocks. You won’t see a huge return on investment with bonds, but there is a lot less risk involved. Normally, those nearing retirement age will put their savings into bonds. They’re less volatile than stocks and can make a steady stream of income.
Real Estate
Those who have a large cash sum available to invest should seriously consider real estate. Especially as the current house prices are so low. It’s wise to buy properties that need a bit of work done on them before refurbishing and selling on. Even if you don’t have a lot of cash to invest, consider pairing up with someone else. Someone in the construction industry is a good idea! The coolest thing that accounts for an investment in real estate is that you can have various investments depending on your skillset. Yes, that’s true! If you are good at money-making criteria in the commercial businesses, you can consider investing in commercial real estate or the rental properties. You can also consider flip houses and also invest in the properties that would trend on Airbnb.
You can consider investing in real estate business to be tricky sometimes, but on the whole, it is the most common way to build wealth eventually! Before investing in a newer area, it is advised to ask about the property details from the local real estate experts to know more about the top real estate players where you live! Hey, wait, there is something you consider investing in the real estate owing to the current context!
You do not have to buy real property for investing in real estate. There are different options to become a real estate investor without having to manage a property. The crowding funding real estate has eventually exploded in the last few years, with new platforms now available in just a click!
Precious Metals
Some people are put off by the volatile markets of gold and silver. However, if you don’t mind taking a little bit of risk then this can be an excellent way to diversify your portfolio. There are so many different ways you can invest in a precious metal like silver, from buying bullions and coins to silver futures.
Peer to Peer Lending
Become your own bank and loan to people all over the world. There are dedicated websites that allow you to lend to practically anyone in the world, for a variety of different reasons. It could be to help them set up their own business or even to pay off debts. If the person you’re lending to is high risk then you can make higher interest rates. Simple!
Fine Art
You’ll find that this is a relatively safe investment option, simply as the prices don’t fluctuate as much as they do in other markets. Generally, if a piece of fine art is worth a lot of money then it always will be. If you have a talent for picking out smaller, undiscovered artists, then you won’t need a lot of funds to invest. If you have more to invest, then consider purchasing classics from galleries and auction houses.
Hedge Funds
Long gone are the days where you need millions of dollars to invest in hedge funds. There are now companies out there that let you get in on the action, with small amounts of cash. Dozens of investors come together to put money into curated funds. The profits are then split amongst all those who invested. You’ll still need quite a large sum (usually around $10,000) but it’s a lot less than the millions of dollars for a whole hedge fund.
Become a franchise
You can consider investing in the franchisees easily to earn anything between 10% to 50% on your money. Make sure you select the right franchise at the right time for receiving hefty amounts. If you can choose the right franchise for your investment, indeed, you can transform this as a smart option for building wealth without investing in the stock market. Now the question arises, can anyone become a franchise?
Of course, NOT! You have to have cash in your hand to invest in a selected franchise. And yes, there are different other requisites as well that qualifies for your franchise investment! So, it would be best if you could know about your actual ROI, which includes money invested and the amount of time. It would be perfectly sensible if you can work around 10 to 12 hours a day operating a franchise if the total financial return is not equitable!
The bottom line
Indeed, with so many ways to build wealth without investing in the stock market, you can choose the perfect one for your financial approach. You can go for building a business or opting for investing in the franchise or starting a blog or investing in the real estate terms. Who needs to invest in the volatile stock market when there are so many other options available? The next time you’re thinking about investing, give one of these opportunities a try.