Whether you have never considered investing in the stock market before or you are an experienced trader, you may well have considered what sort of alternative investments are available for you. But before you consider channeling your money into anything, you need to be sure of where it is going. So, to give you a quick overview of some of the potential options which are available to you, here are three of the most popular choices which you could consider.
Option One: Gold
While you can’t see your stocks and shares as they are not physical entities, you can certainly feel the weight of a gold brick or coin in your hands! And there are still many investors who are naturally drawn to this option. To get some ideas, check out some of the options available here https://www.sprottmoney.com/. Gold can form a part of a diversified investment portfolio. After all, one of the main principles that investors will tell you about is the importance of giving yourself a wide range of opportunities to make a profit. Gold or other precious metals may end up being the right option for you. The value of precious metals can swing wildly so be sure to have the right diversified mindset when investing.
Option Two: Real Estate
The old saying ‘safe as houses’ was thrown into disrepute after the financial crash of 2008, but there are still a lot of people willing to channel their money into property. Before you do this, consider how much of a mortgage you still have to pay off on your own home. Can you afford the levels of exposure? And when you buy real estate, there are bound to be a host of other expenses that you have to deal with including repairs, maintenance, utilities, taxes, and the potential to ending up with bad renters.
You also need to buy the property strategically. If you are going to be renting it out, think about who your ideal renter is going to be. Assess whether the property is likely to attract them. If you are going to flip it and sell it on, you need to consider whether or not you have the required experience – or you at least have a project manager that does.
Option Three: Curios
Curios refer to collectible items like coins and stamps. Then there are other collectibles like comic books. While these might not offer the same return on investment as stocks and shares, they do provide a popular option for some investors – particularly if you have some sort of passion towards them. There is also a sense of excitement in the discovery of a particularly rare object. However, you need to factor in the additional costs involved in obtaining and storing it. Ultimately, this is can provide a great hobby and a good way of making some extra cash. But it may not end up being a hugely lucrative investment option.
The collectible market can swing or be trend dependent. Think back about the Beanie Baby and Sports Cards trends of the 80s and 90s. Many people got caught up in it and lost money. If curios is your thing, then know that you have to sell when your market is hot to make this a fun alternative way to invest.
All investments carry risk, from traditional stocks and bonds to any alternatives as mentioned here. Understand your risk tolerance and have a well diversified portfolio. So, now that you have an overview of some different investments that you can make, you will need to do a lot more research if you plan on putting any money down. That’s the way to have the best chance of making a success of things.