In recent years, cryptocurrencies have been the talk of the investment world. It seemed for a while that the revolutionary idea of the famed blockchain technology and the mining of the most popular cryptocurrency, Bitcoin, would soar to unprecedented heights in terms of popularity and market value. And so it was for a brief while. Following the staggering rise of Bitcoin in late 2017, notable investors were predicting even greater feats for the popular cryptocurrency, but 2018 had something else in store.
In January (and all throughout 2018, it seems), Bitcoin tumbled and plummeted like never before, costing many people their hard-earned livelihoods. This should actually come as no surprise, as the inherent volatility of the cryptocurrency market makes it highly unlikely that anyone but the earliest of investors will achieve the success that was once promised. With that in mind, here are five great investment opportunities that aren’t cryptocurrencies you should definitely check out, if you’re looking to secure your assets and diversify your investment portfolio.
Investing in real estate
Investing in real estate is one of the most popular investment opportunities out there, and becoming a landlord can be a lucrative business venture. If you procure a house, a duplex, or even a multi-family complex with the help of a lender (usually, a bank will finance everything after you’ve made a down payment), you can collect rent and pave the road to more similar investment in the future.
Perhaps even without financial aid. You can, of course, become a real estate investor on your own, or you can partner-up with one or more investors in your niche in order to spread the risk a bit, obtain financing more efficiently, and gather relevant insights from more experienced players in the industry.
Another lucrative investment opportunity, but on the digital plane only, is peer-to-peer lending. This is a somewhat new concept, and not many aspiring investors even know what it entails. Quite simply, businesses need financing, and they ask for a loan through an online service that pools investments together from various sources.
You are one of these sources. You can simply research the most lucrative investment prospect in a niche you’re interested in, make a contribution, and your money goes into a single fund intended for the borrower. The good part about peer-to-peer lending is that the ROI can be significantly higher than anywhere else, and in some cases you can expect to double your investment.
The most stable commodity – precious metals
Gold and silver have been stable, valuable, and highly-competitive commodities for thousands of years. The precious metals market is a highly sought-after investment opportunity many aspiring investors choose first because of its low volatility. This means that your money will be safe, as gold is often times referred to as the go-to rescue asset in times of crises – such as the recent downfall of Bitcoin.
The interesting thing about precious metals is that there are numerous ways an investor can get into the trading game. You can choose to buy and sell physical gold and silver in the form of coins and bars, you can buy gold accounts, invest in palladium that has increased in price lately, invest in ETFs (exchange-traded funds), or even invest indirectly through gold and silver mining stocks.
Investing in your own business venture
When people think about investing, they usually consider investing in a physical asset, or someone else’s idea. However, the third equally lucrative option would be to invest in yourself, or rather, your own business venture. If you have accumulated enough capital, you can surround yourself with a crack team of professionals who can help you realize your business idea and build a strong brand identity.
This is, of course, is a high-risk-high-gain type of deal, as it has the potential to yield the greatest financial returns, or no return at all. You have to be careful in your financial planning and asset allocation if you want this one to work out, so make sure you put money towards numerous goals such as brand creation, digital marketing, product innovation, and customer service.
Becoming a venture capitalist
Last but not least, there is always the option of investing in someone else’s business idea and hoping everything turns out great. Luckily, there are thousands of start-ups in dire need of financing and you can easily pick and choose your favorite option based on a myriad of factors that will tell you just how lucrative the idea is.
These factors include the investment amount, the demand for the product or service, the team leading the project and their experience, the market value, and of course, the feasibility of the business plan and the accompanying growth strategy. These considerations will point you towards the most lucrative of prospects.
Becoming an investor and generating passive income that will set you up for life is the dream. However, it is unlikely that this dream will come true through cryptocurrencies, at least as things currently stand. As a novice (and even experienced) investor, it would be a sound and prudent business decision to build your portfolio by investing in stable, more lucrative markets such as the ones we have outlined today.