It could be overwhelming to think of different channels where to invest money because these days, there are just so many options you could choose from. Do not let that overwhelming feeling hinder you from maximising the possible returns you could get from investing your money. It may be an overwhelming task, but it is not actually hard to understand.
All you have to do is to be knowledgeable about the different channels where you could invest your money in, assess how much risk you are willing to gamble, determine how long of a time commitment can you leave your money to grow, and decide if how involved you would want to be so that you could easily get the perfect investment match for you, depending on your answers.
It is important to consider these factors before deciding to place your money in an investment because you would want to get the best possible yield from it – considering economic factors such as annual inflation rates as well. If you are not yet sure where to place your newly earned money, here are a few options to help you decide and discover the best way and where to invest your money.
Keeping it in your account isn’t worth it
You might think that taking the easy way out and just keep your money in your bank’s savings account to earn their offered interest rates, then you are just making one big lazy mistake. It seems like a sweet deal, yes. Earning interest just by keeping your money in the bank while you go on your daily business. But take a look at the yield percentage.
Most banks would just give you peanuts for interest earnings. In fact, you would be lucky enough to get an annual 3% interest rate because by then, at least you would have beaten the average annual inflation rate of around 1.8-2%. Meaning, your money earned value.
But that is, of course, considering that you do not touch it for a whole year. If for example, you have £10,000 in your bank account, you would be able to earn £300 in interest if you keep that amount intact. Given a 2% inflation rate, you would have earned roughly £100 in terms of valuation. That is just too small and too long of a time commitment to keep your money untouched – what would you do in terms of emergencies?
Fixed term bonds
Unlike with a bank where you can withdraw your money any time and just expect to get lower interests earned, you really would not be able to get out of the money you would place in fixed-term bonds, unless of course, you are willing to pay a high fee and just lose the value of your money. Your £10,000 could easily get you an earning of £1,100, but is it worth it to just leave your money for years?
An investment that would give high yields
Investing your money in a high yielding investment without having to put in much effort is a dream come true. But not only
With Buy2LetCars, you would be able to invest as little as £7,000 and up to as much as £280,000. With your investment, you could expect and an average of 7-11% returns per year. Even though your investment would be for a minimum term of three years, your money would not be tied up for that long period of time.
You would be able to get monthly pay-outs each month for three years, so you could either spend the money you get monthly on your necessities or even re-invest it in other earning opportunities. On the 37th month, you would be able to get a lump sum amount with the interest you earned, depending on how much money you invested with them.
The best part about it is that you would not have to lift a single finger for your money to earn. All you have to do is sit back, relax, and wait for your money in your bank account.