5 Innovative Investing Options
Investors should always diversify their wealth portfolios, especially during tough times. What are 5 innovative investing options? How can you protect your wealth in uncertain times?
The secret to protecting your wealth is to diversify your asset holdings to include both mainstream and alternative investments (AI). This ensures that if one asset class declines, the other will still remain. Wise investor diversification “does not put all of your eggs in one basket.”
Wise investors “zig when the market zags.” They buy low and sell high. This ensures that they earn the best return on investment (ROI).
There are an ebb and flow to investments. Some will be out of favor at one time but will become popular at other times, and vice versa.
The secret to building wealth is to add out of favor assets before they become popular. That is why you should look at alternative investments. Stocks have had a bull market for about a decade, aren’t they due for a dramatic correction?
Wise investors listen to advice with a grain of salt. Many asset commentators are glorified salesmen, promoting their favorites. Therefore, you must remember conventional wisdom that believes that gold and silver are money.
Precious metals and other commodities are tangible. These are the raw inputs for productivity. They will always be needed and always have value.
2. Peer to Peer Lending
Crowdfunding has combined private wealth with modern technology to democratize the traditional banking function. Many multinational banks concentrate on large multinational corporations and governments. This allows peer to peer (P2P) lending firms to dominate the personal finance industry.
For modern finance has made it so that more individuals rely on loans. They might have credit card debt or student debt. The P2P lending industry has room to grow.
3. Equipment Investing
Medical equipment investing can be ideal for those who want high returns (growth) or a stable cash stream (value). Healthcare is always needed, so it will not disappear like some technological fads. Equipment investing can be for the short-term or the long-term.
Due to government healthcare programs, an aging population and patents, medical equipment investing can be very lucrative. You might be amply rewarded when your medical company discovers a life-saving drug, treatment or technology.
4. Hedge Funds
It used to be that mutual funds were the big deal, but now enterprising trading strategies, techniques, and technology have made hedge funds very popular. Superior risk management strategies allow them to continue to make money during bear markets. There is a wide range of risk tolerances covered by the hedge fund industry.
5. Venture Capital
Anyone who has noticed who makes the most money when products and services become popular should realize that venture capital is the place to be. This is high risk and high reward. If you can find the “diamond in the rough,” then you can join the 2,325 billionaires on the planet.