Which investment product should you choose?

436
2021

Which investment product should you choose?

The simplest and most understandable way for most people to invest their funds is to use bank deposits. To open an account, it is enough to have a certain amount and take it to the bank that will offer the highest profitability. At the same time, investors do not have to expect a yield of more than 10 percent per annum, which can cover inflation but is unlikely to provide sufficient profit. You also need to remember that banks set a fixed percentage, and you can withdraw the invested funds only after the end of the deposit storage period.

Current types of investments

To get a higher income, you need to choose modern investment instruments, which include investing in real estate. This format is considered a good way of investing since even under normal conditions the profitability starts from 10 percent. Most often, it fluctuates between 18-25 percent per annum. Real estate investments have their characteristics. For example, in a crisis period, their payback falls, so you need to choose the right moment for investment. This tool has its risks, but they are usually lower than in many other areas. If you need to get investments for the implementation of your project, then on the JKR website it will be easiest to use them. The company only needs to comply with the requirements set by the investment group. Many years of experience in the field of investment make cooperation a profitable solution.

Trading systems for investing

If we consider the current areas for investment, then you should pay attention to automatic trading algorithms. This direction remains one of the most interesting. By investing in this segment, traders can receive from 30 percent per annum. For professionals, the efficiency rate can be as high as 80 percent. At the same time, there are risks in this segment as well, as you can always get to the wrong algorithm that does not take into account some variables, which will lead to financial losses. For those who choose to invest in trading systems, there are several simple recommendations:

  • you should not invest large amounts, as the market is subject to fluctuations;
  • you should look for competent traders to diversify risks;
  • it is better to use several trading robots at the same time, setting different strategies for each of them.

This investment format is actively developing, therefore, the algorithms become more effective every year. This is a good option to add to a moderate investment portfolio.

Investing in Exchange Traded Funds

An ETF is an exchange-traded fund whose securities are available for trading. The advantage of this format is that you can invest in several companies at once, united by a common index fund. Working with a broker allows you to reduce risks, as well as achieve good diversification. The profitability of this investment instrument is 10-30 percent per annum. If we compare this method with manual investments, then exchange-traded funds make the investor’s work easier and also make it cheaper.

Business and its investment opportunities

Business investments always remain relevant. First of all, it is worth considering companies that belong to the middle segment of the business. In this case, business processes will be streamlined, which allows the enterprise to scale successfully, and at this stage it requires investments. For an investor, this tool is attractive with a yield of up to 50 percent per year and a high ROI.