We all know of the traditional, safe-house options for growing our savings. From high-interest savings accounts to bonds to mutual funds and even dabbling on the stock market or investing in property. But if you’re looking to diversify your portfolio a little or even make some money on up-and-coming hot properties, sometimes it pays to think outside of the box. Stranger investing strategies may not appeal to the risk-averse, but they are a new alternative that can pay big. Ok, so you may have missed out on the big wins from Bitcoin investment or Netflix stock, but there are still little-known ways to grow your savings. Here are some ways to invest that you may not have thought of yet:
Become a Domain Squatter
Have you heard of this trend yet? Companies will pay big money for the right domain name. These titles can be bought for a very minimal cost, and if someone else wants to buy them, prices can run into the thousands. You can make money by snapping up new buzzwords that are likely to come into demand, or unregistered versions of existing websites if they are not owned already (such as a .com, country-specific or .net versions). Until you sell the site, you can also generate a return on investment by taking display advertising or Google AdWords on the site. If it’s a misspelt or slightly different version of a popular website, potentially you’ll get a lot of traffic. It’s a high risk strategy as you may not make anything and despite the fact prices for domains are low, you’ll need to buy plenty in order to make a decent return, so think carefully before proceeding.
Loan Your Money
If your savings accounts isn’t generating enough interest to be...well, interesting, you can try loaning out your money as well. Online loans market places let you bid on loans for a fixed fee, so you can lend money to the recipient of your choice. Usually you can view the users credit score and view recommendations from their friends to discover a person you think you’d like to lend to. Generally you can set the rates within a parameter- users can make up to 13% back.
Toast Your Money’s Health
Investing in wine is picking up quite a following, as the returns have remained stable despite varying economic conditions. There is a stock market for wines, the Liv-ex 100, that has risen 12% over the last three years. An initial investment will be in hundreds of cases of wine, and you are likely to experience a good return on your money.
Diversify and Prosper
No one is denying that these investments are higher risk than the average savings account- but financial experts agree that this strategy is fine as long as it’s acts as part of a balanced portfolio overall- in other words, don’t put all your eggs in one basket! Higher-risk options should form no more than 10% of your overall investments - spread the rest amongst two or three more stable but lower return options and you could soon be marvelling at what is making you money!
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