After saving up for some time, you finally have some extra cash, and you decide to invest it. With so many opportunities and things to invest in, you wonder what would be worth investing your cash in. In this article, we will discuss what young Australians can invest in.
Property
Property has always been the first thing that comes to mind when we think about what to invest in. While it makes sense to buy a property, it is not an easy feat to be able to actually do so. Property prices are extremely expensive, and they will be for some time to come. If you’re fortunate, you will have a parent or a friend who will be happy to give you a helping hand or even buy the property for you outright.
Even if you do have the cash on hand, and the means to get a property, there’s no guaranteed return. You could end up losing a lot of money on a property if you don’t do your homework correctly. Do your research, and buy the property that is located in an area where rents are going up. Be smart about your investment, and don’t just pick the first property that you like.
Equities
If you don’t have the cash or the means to be able to buy a property, another option of investment is to invest in equities. This means investing in shares of large companies. If you throw your money into large companies, you can be sure that there is a good chance that your money will be returned to you when you decide to sell the shares.
Another benefit to investing in equities is that you can buy and sell them at any time. This means that you have a lot of flexibility when it comes to investing in shares. You can sell them before they lose value and make a profit, or you can hold onto them until they appreciate in value.
Index Funds
The third popular way to invest is in managed or index funds. This is a much safer way to invest, but it doesn’t necessarily make you a lot of money. The good thing about managed or index funds is that you can invest in a number of industries, and you can put your money in a number of companies. It is also a more stable option if the company you invest in does start to do poorly, you’re not going to lose your money. The only risk is that it will take longer to turn your money into something significant.
The key to investing is to do your homework and to have a plan. If you have your money saved up, consider investing in a property, equities or managed/index funds.
Cryptocurrency
Investing in cryptocurrency is a very volatile way to make money. If you have a significant profit, you can just as easily have a significant loss. What makes investing in cryptocurrency so exciting is that the industry has been growing rapidly. If you do research and do your homework well, you stand a good chance of making it big.
Bitcoin has already made people a lot of money, but there are also plenty of other cryptocurrencies out there that have done the same. If you’re looking to make big gains from your cryptocurrency investments, then you have to know what you’re doing.
Cryptocurrency investing is a great option for young people, but you have to choose your investments carefully and do your research. Don’t invest in anything just because it’s popular or has been doing well. Look at the fundamentals and the technology and team behind the cryptocurrency.
Conclusion
We’ve seen that you can make a profit from different things that are available out there. You have to decide what you want from your investment. If you have the cash available, consider investing in property. Another option is to invest in equities that offer a good return. If you don’t have the cash, you can choose to invest in managed or index funds. Regardless of what you choose, make sure that you do your research and that you know what you’re doing.
If you need a financial advisor in Gold Coast, you can contact us at New Wave Financial Planning. We advise our clients uniquely, depending on their situation and make sure that they make the best choice. Contact us today to learn more.
