Do you have any savings that you would like to take advantage of? Do you want to know where you can invest your money wisely? We will try to show you some of the investments in which you can put to produce your money. It is important to be aware that we will not become investors overnight, much less will it appear as if by magic. However, it can be beneficial for you personally and professionally.

What Type of Investor Are You?

To know this they must be clear to what extent they are willing to risk. Knowing your investor profile indicates the relationship between the risk we assume and the return we obtain. The investment profiles are:

• Risky: You are an experienced investor, willing to risk large capital with a chance of obtaining higher returns. Generally invests in short-term variable income.
• Conserved r: They keep their capital safe even if this generates lower profitability. They invest in fixed income in the medium and long term.
• Moderate: It is between the previous two, you want greater profitability but without having to risk much. Their investments are in fixed and variable income very similar and medium term.

The Risk of the Investment

Every investment carries a risk, the only thing we can do is reduce it, choosing investment products with low risk.

1. Result time – Some investments can generate income after a few months, others in a few years, it all depends on the option they choose. They must also take into account that investments are affected by external and macroeconomic factors that are not within our reach.
2. The best option to invest money – It is a decision that everyone must choose depending on the study they carry out and what they are looking for. The first thing to know is how much risk they want to take, how much money they want to invest, the expected profitability, their economic objectives, among others. All this will help them to see how to invest money in a business, in goods, or in whatever they decide.
3. How much money to invest? As we already mentioned, every investment has risks, we could even lose it all. For this reason, it is necessary that when investing we do it only with the extra money we have, with what they have saved. The advisable thing is that they only invest the money that they have left after covering their basic needs. Look at the interest it may generate, and for this reason, you should consider looking at a compound interest calculator.

Don’t Invest Everything in One Place

It is advisable to have varied investments, allocate different amounts to different investment options; in this way, we can reduce the risks of losses. That is, if any of the investments does not obtain the desired profitability or generates losses, we will have other options available that can generate profitability.

7 Ways Where You Can Invest Money

Next, we will leave you a list of how to invest money in a business, assets, or goods; and some places that may be interesting to generate income in the future.

Investment Funds

It is to pool investor funds, which are invested in different assets such as stocks, bonds, among others. This is generally managed by a professional. We can access different investment funds according to our investor profile: conservative, moderate or risky, and the profitability we expect. Currently, this type of investment is also possible with robot advisors. These are Robo advisors whose function is to manage our assets in an automated way according to our investor profile.

Investments in Shares

The shares are securities issued by companies to finance themselves. The owners of these have the right to receive dividends when the company decides to distribute them and generate profitability. Investing in shares consists of buying these securities, which can be sold at a higher price and/or receive dividends. In general, shares sell quickly, making it a highly liquid investment, with a high potential for returns in the medium and long term. However, it is a high-risk investment, as it is a very volatile market, constantly affected by economic, political, and social factors that influence the price. If you decide to invest, it is advisable to seek professional advice.

Investments in Bonds

Bonds are debt securities issued by companies, governments, and some entities to finance themselves; giving owners the right to periodically obtain pre-set interest payments, they are constant for the life of the bonds. Investing in bonds consists of acquiring the securities to have profitability with the periodic payment of interest. They have a high return, although lower than stocks, and it is necessary to have technical and specific knowledge to invest. This type of investment is low risk, which is good for those just starting out their journey.

Invest in Yourself

This is the best investment you can make, dedicate those savings to your training. Take specialized courses that allow them to develop skills. It is a low-risk investment. It never causes loss. What do we receive with this investment? Knowledge and development of our skills. We hope you can use some of these options to achieve a smart investment of your money.

Time Deposits

It is one of the most popular options for investing money among people who want security. It is very simple, the bank offers us certain profitability for keeping a specific amount of money for a certain time in this bank. Once the stipulated time is up, we charge the interest. This is a safe investment option since we know the interest to receive and the term in which it will happen. For this investment, great knowledge of finance is not necessary since this is managed by the same financial institution.

Microcredits

Micro credits are small loans that are granted to people with limited resources and who have difficulty obtaining credit. At first, these were intended for those who wanted to undertake a project or cover some needs. At present they are also given to cover urgent needs and that can be covered, but not at that time. These can be obtained in a specialized financial institution. It is an investment that can be made in the short, medium, or long term, it depends on the project you choose.

Investment in Crowdfunding

This is a means of collective financing, which is usually done through online platforms and is intended to finance a specific project. There are four types of Crowdfunding, depending on the expected benefit.

Invest in a Business

Some of the ways we can invest money in a business are by starting our own business or buying an established one, we could even finance someone else’s business. The purpose of this investment is to obtain benefits with our participation. Another investment option can be to acquire a franchise. Of course, it is important to be well informed about which of these options is the most convenient.

Invest in Gold and Silver

Buying gold to sell can be very profitable if you know when to buy and sell. They can do it in two ways:

• Direct, buying coins or gold bars.
• Indirect by acquiring gold certificates of deposit, investments in specialized gold funds, and shares of mining companies.

It is a very safe investment since gold does not devalue so easily. If, on the contrary, they wish to invest in silver, this has the advantage that its value is constantly increasing, the ways of investing are similar to those of gold. So be sure to make the switch to investment and savings, because it will be a profitable investment for all.