3 Investment Options That Yield Extremely High Returns
You may have been putting money away for years, or have just recently come into a bit of capital. Either way, if you’re thinking of investing, you’ve finally realised that what you’ve got is an opportunity. Instead of leaving it to gain minimal interest, you can use money to make money.
But you’re facing a big decision. What investment option is best for you?
There are plenty of low risk, low return investments, and that is fine for some. But if you want the highest returns on what you’ve got, these 3 options are for you.
- Real Estate Investment Trusts (REITs)
Real estate investment trusts provide many options – most of which can yield incredibly high returns.
What is a REIT? Qutie simply, it is equivalent to a mutual fund that owns individual properties rather than stocks or bonds. The REIT acquires properties, and you receive rental income.
The huge advantage a REIT provides is that you don’t have to manage the properties. It also exposes you to a diversified portfolio. You can invest in hotels, apartments, office space, and just about anything else. They can be publicly or privately traded, and tend to yield very high returns.
- Forex trading
Forex trading refers to making money by trading one currency for another at the agreed exchange rate. It is the world’s most traded market, due to its accessibility and potential for high yields.
One of the benefits of Forex trading is that you can trade using leverage. Forex brokers allow their customers hundred and more times leverage, something you will not find in any other market.
While this entails higher risk, as you can lose far more than your initial investment, it means you can yield huge returns.
- High yield business investments
Investing in businesses can be a very profitable venture – if you know which businesses to invest in. Some investments won’t get you much. But there are others which provide high yield, quickly.
Generally, businesses in the healthcare industry have high return on equity (ROE). Dentist offices for example, have an ROE of 101.1%. If you’re unfamiliar with the term, return on equity will show you how quickly the company generates profits. It allows you to identify whether the company is an asset creator or a cash consumer.
The higher the ROE, the higher returns your investment is likely to yield.
Aside from the healthcare industry, accounting and payroll companies, as well as brokerages and employment services firms have a high ROE.
Making the most of your money
It’s important to have savings. After all, you never know when you’ll need them for that rainy day. But when you have money, you have a huge opportunity to make money.
If you’re ready to take the plunge, trying one of the above options can yield you especially high returns.
Supplementing your income can be as easy as letting your money do the work. Make sure you’ve found the best investment option for you, and give it some serious consideration.