There are many common methods of investment we all know about, such as stocks, bonds, and a 401K. A few other popular ones include investing in real estate or a savings account.
But what about other ways to invest and expand your portfolio? How do you make sure you are doing something smart with your money that will pay off in the future?
Luckily in today’s world, there are lots of ways to wisely invest your money, either to improve upon your existing portfolio or simply to do something good for the world at large.
Let’s have a look at the best investment strategies for beginners and seasoned investors as well.
An Overview of Contents
9 Investment Strategies for Beginners
Here are nine ways you can invest your money that you may not have thought of yet.
Restricted Stocks
Most people know how to invest in the stock market, or if they don’t, they might know a reliable source to help them with it.
But have you ever considered, or even heard of, restricted stocks? These are stocks that cannot be sold until a specific date.
It may sound counter-intuitive, but this type of stock is becoming more and more popular. These are also a way of obtaining restricted stock loans, wherein you put up your restricted stocks as collateral.
These loans are a great way of paying down debts without risking anything major.
Collectibles
So, this is not what you might expect on a list of potential investments, but it’s true – collectibles are a relatively safe and fun way to invest your money.
When properly managed, collectibles can pull in quite a high profit. You just have to know your market and when the right time is to sell.
Unlike many other forms of investing, collectibles show little to no sensitivity to interest rates and actually gain value with inflation. It is a great way to invest and enjoy yourself, too.
Land
This could certainly fall under real estate, but we don’t mean land with homes or buildings on it.
We mean empty lots and open spaces because the land is a highly valuable asset and the world is constantly growing.
Sharecroppers and farmers will likely gladly rent land from you and may even cut you in on some of their profits from crops, should they choose to sell.
Owning large, open tracts of land could be a great way to expand your investment beyond what you thought possible.
Art
Like collectibles, art has a massive community following it.
You have surely heard of art selling for hundreds, if not thousands, of dollars? Furthermore, like collectibles, art gains quite a lot of value over time.
If you buy an art piece now for a few hundred dollars, in ten years it could be worth thousands. This type of investment, like all investments really, depends on patience and a willingness to participate in the art scene.
However, if you play your cards right, your profits could be exponential.
Peer to Peer Lending
This involves you essentially becoming a lender. You pool a sum of money with other peer lenders to a borrower once they qualify.
After that, you receive monthly payments, including interest. Often the return on peer to peer (P2P) loans can far exceed your original investment.
P2P lending is becoming steadily popular, so jumping in now is a great way to make some money over time.
Cryptocurrency
Cryptocurrency is not unheard of investment, but it still is not as widely popularized as other forms.
However, with a society increasingly relying on technology and digital solutions, cryptocurrency such as Bitcoin is a great way to invest your money.
Many argue that cryptocurrency is the prevailing currency of the future, so it would be beneficial for you to get on board now to stay ahead of the game.
Wine
With a little bit of time and research, investing in wines can be a lucrative method of investing your money.
When you have a working understanding of the wine industry and know which wines to buy for your collection, you could eventually sell your amassed collection at an auction or to a wine dealer.
Why not make your investment something you can enjoy now, too? Whatever wines you decide to not add to your collection can be a nice drink for you to enjoy with family and friends.
Music Royalties
The initial investments on this type of revenue can be quite high, but you can see astronomical returns if you invest wisely.
There are websites you can find where you can invest in specific song catalogues or genres. And anytime those songs are used or played, you will receive some royalties.
If you choose your catalogues wisely, you might see thousands of dollars in gains in the first year alone. Some research into the music industry would not be remiss for this investment, but it is still something many people did not know they could invest in.
Silent Business Partner
Some people have never considered themselves overtly creative but have had the urge to start a small business.
On the flip side, some people may have an amazing business idea but lack the capital to start it. That is where you could come in.
This type of investment is not without risks, but many are choosing to be silent business partners. They provide the capital to start and run the business, and someone else does the day to day and provides the ideas.
Profits are split between you and your partner. With the right business plans and strategies, you could see some amazing gains in the long run.
All you have to do is find a partner with a creative idea.
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