A lot of us have limiting beliefs that investing is for the wealthy. The time, commitment, and know-how involved make the idea of investing feel so intimidating. It is true that it takes strategy and commitment to become an investing guru, but thankfully, you don’t need to have achieved that status to see some extra green to sprout from your account.
We’re here to break down these mental barriers and introduce you to five innovative ways to invest your money right now.
Two Birds, One Stone Approach
Do you have debt? Want to invest in it? That’s right; it is possible to take two seemingly oppositional things and have them work together. Take the investment approach of paying down your debt. In this framework, the gain is the money you’re saving on future interest. A good tip is to organize all the money you owe first so that you can decide how you want to start paying down your debt constructively. You can also check what is the difference between beta and alpha to help you in your investment journey.
DIY-Style Investing Approach
You might take the DIY approach and get involved in online trading platforms. You can select the investments you’re interested in, all by yourself. Two outlets for this style include TD Ameritrade and E*Trade. Handpicking investments leads to exchange-traded funds (EFTS) as they give investors affordable ways to begin gaining a vast range of benefits.
Peer-based Interest Lending
Get involved in peer-to-peer lending, which is how you lend to borrowers using a merging service, an online website that works to introduce borrowers and lenders. Building a community of borrowers and lenders that work together is a concept that Lending Club fosters, allowing investors to automatically or manually invest based on their preferences. Not only will you get into the swing of investing, but you’ll earn interest as you invest.
The Hands-off Approach
Maybe you’d like to start investing, but you don’t like the idea of handling things yourself. Consider using a robo-advisor. Robo-advisers make it easier to manage your investments as they respond to the risk levels you insinuate through your profile. You’ll not only get the reassurance of investments that match your abilities, but you’ll also get to track your investments along the way.
A branch from robo-advisors is cryptocurrency investments. New methods are being used to overcome the entry hurdles, giving you the freedom to invest without banking fees. Both options eliminate the need for you to organize your investments organically. Speaking of organizing, if you choose any of these tools to help you with investing, you may need to clear out your inbox clutter more than usual. Updates, email marketing, and other mail will make it difficult for you to track investments. Take time to declutter with Outlook.
If you feel that you could use help, seek assistance from a discount broker. Different brokers have different approaches, so take your time looking into which broker is right for you. For additional tools, check out this investment calculator to help you form an investment strategy.
Future College Education
Make investing part of your college savings plan. Remember, the earlier your start, the better. Your kids have 18 years before they’re ready for college; that is not actually that much time to come up with a hefty savings to cover their education expenses. Put a grand into their fund and watch how your money grows. You’ll be amazed at the college tech you’ll be able to afford by the time you send them off!
Investing can sound scary, but you don’t have to throw yourself to the wolves to see some great change. Follow these steps and see where your money takes you!
Add Your Comment