Looking to get into investing in 2019? Keep reading for a few tips on some great places to put your money, and some you might want to avoid. The investment landscape has changed a lot in the last few years, and this change looks set to continue. If you’ve got some investing experience in the past, that doesn’t mean you know how things are today. In this article we’re going to help bring you up to date.
While some things change, some stay the same. Although there might be a plethora of new places to invest your money in 2019, some of the same advice still rings true. And in some cases, that same things people were putting money into decades ago might still be recommended today. So if you want some good ideas on places to put your money today, then keep reading. It’s also important that you do your research, and CommerceTrustCompany.com now can help there.
Some investors want growth stocks that start small and become the next big thing, while others want steady gains and regular dividends that give them an instant return on their money. The best investments obviously have a mix of both of them. Deciding what’s more important to you is a crucial first step. Those high potential growth stocks might make you rich, but they might not. And they’ll also be more risky. Either way, there are still some innovative ways to invest your money this year, and we’re going to look at them…
So what are the top investment tips for 2019?
This should be at the front of your mind at all times, whether you’ve investing now or in the future. Diversification has always been a hugely important investment strategy. You don’t want to put all your eggs in one basket. You might do a ton of research and think one stock or investment strategy is a sure thing, but it might not be. Don’t get all your savings wiped out by simply putting them all in the same place. If you want to be successful, then diversify your investments.
2. Don’t overlook property
Property has been a mainstay in the investment industry for decades, so it’s hardly an innovative idea. But that doesn’t mean it should be overlooked. Yes, you might have already missed the boom in property, but there’s still money to be made.
One benefit of property as in investment is that you’ll actually own something physical. That should make it lower risk. You can get yields from letting a property that are better than most savings accounts and bank rates, and that doesn’t include the potential for your capital investment to increase alongside it. This is a growth and return investment, and it should still be one you look carefully at.
If property is an established investment strategy, crypto isn’t. You’ve probably heard of BitCoin and other alternative currencies like Ethereum. These currencies are based on blockchain technology and aren’t backed by national governments like traditional currencies. They’ve had a massive impact on the investment industry in recent years.
If you got into BitCoin early enough, then you might be reading this from a yacht somewhere. Or in other words, you’d have no reason to be reading this at all. So you probably didn’t. While BitCoin has seen a slight drop in price in recent months, you might like the idea of finding another cheap coin that you think is going to be the next big thing. Be careful, because everyone is trying to do that – and it’s a high risk strategy. Crypto investment is not for risk averse investors and you should be ready to lose large amounts of your capital. It’s extremely volatile.
4. Blockchain investment
Cryptocurrencies are based on the blockchain technology, but that’s not all it’s useful for. There are actually a number of other real world solutions that blockchain has helped revolutionalise, like security and energy production. If you want to avoid BitCoin speculation but still want to capitalise on this innovative new technology, then you could simply invest in the right business and hope you’re onto a winner.
Has we move away from fossil fuel production and towards cleaner energy solutions, there’s a lot of money to be made from eco-tech. Everyone is trying to improve their eco efforts and there are tons of new companies coming up every year that are trying to take certain corners of the market. You might want to look at solar panel companies, wind farms, or some new tech that’s just around the corner.
6. Traditional stocks and shares
Don’t overlook traditional stocks and shares in favour of innovative new technologies. If you want good dividends and lower risks, you might want to look at established blue-chip stocks or things that you know are here to stay. Don’t put all your investments into higher-risk new tech when keeping things simple could be the way forward.
7. Funding clubs and peer-to-peer lending
Have you seen the rise of peer-to-peer lending recently? These websites let you lend an amount of your choice to a range of small businesses or individuals. They’ve got processes in place to protect your money and pay rates that are quite a bit higher than normal savings accounts. They could be away to go for you.
Speculating on different currencies has become mainstream. Something that use to be saved for professional traders can now be done by anyone from the comfort of their home. If you’re good, you can make money here. But be careful. Foreign exchange markets are extremely volatile and you could lose a lot more than you’re prepared to.
9. Be careful
When looking to get into investing in 2019, remember to be careful. As we already mentioned, diversification is important. And so is risk management. Make sure you’re aware that no investment is a “sure thing”. Only invest amounts you know you might lose. If you don’t like risk, stick to state-backed and insured savings accounts. Yes, the rates of return might be lower, but so will the risk. Make sure you do all the necessary research before jumping into an investment. Don’t simply go off the advice of one expert of individual, or one article you read (even this one). if you take one piece of advice away from this article, it should be that investment are risky. Bare that in mind.