Joe's Investo'rama Blog

Ok, so I'm not really sure how to use this site as it doesn't have an area to do posts like the ones on WordPress do. I also can't find any way to insert pictures in to the post so bear with me.


Anyway, I wrote the article below a couple of weeks ago while I was traveling. It's about alternative investments ans how they work.


I hope you find it useful.


Different Types of Investments


Most people are concerned about investing cash as they believe it may only be done by investing in issues on the stockmarket, government longer term treasury bonds or mutual funds. A lot of people who have been making investments for some time could even make investments in such things as commodities or ForEx. Other folks might also consider purchasing the pink slips of mining companies, or maybe purchasing precious metal funds. If a person starts considering various places to invest their funds, they should ensure it is a genuine alternative investment. As an alternative, take advantage of some other investing techniques which will help you increase your assets. 

Listed here are a few alternative ideas to regular investments you may want to think about for this year. 



P2P Lending


Peer-to-peer Investing, also known as Peer-to-Peer Lending, is a relatively new phenomenon. P2P online platforms give loans to companies, consumers, property developers and just about anyone else that can qualify for financing.Should you sign up to the pool of investors who will be prepared to loan money to others, then the loan can be funded by you once the debtor qualifies.



There is no banking institution associated with P2P financing. When a person asks for a loan, all the investments from the investors are combined, and so the loan is then extended to the customer. You'll then obtain a predetermined repayment every month that also includes the interest you're owed . Rates you are going to get are generally higher than you can actually hope to receive from a usual banking institution. 


The major risk by using Peer to peer loaning is the fact that you will be lending to folks which may not have had the ability to get a loan from a standard bank or perhaps can’t use conventional financing outlets, which often can increase their likeliness to default. But, you can always establish the credit rating and also other variables you will consider for the debtor, and you've got the choice to finance or not to fund. 


Lots of blogs review different P2P lenders and can help you understand P2P lending. Listed here are a couple:

I2I Funding Blog

Kuflink Peer to Peer Review Blog

Invest and Fund Blog

List of Top 100 Euro P2P Blogs




Investing In Real-Estate


If you decide to place capital in to property, it means you become the actual owner. Obtain any kind of property, including commercial buildings for example office complexes and warehouses, you then sit back and get the month to month rental repayments. Usually provided that you have the required deposit, a mortgage lender provides you with a mortgage for the rest. 


The income from renters, plus any percentage your property has increased in value, will come straight to you. Sometimes it is a good idea to collaborate with some other individuals to invest in & share the cost of handling the real estate together. This helps you to distribute much of the associated risk, and you may find people who might be more knowledgeable compared to you with regards to real estate property & real estate administration. 


Some people opt for P2P websites which finance loans on property and buildings instead of buying it directly because it is easier, also cash is frequently far more liquid.


Some companies enable you to purchase real estate property without having to deal with the obligations of becoming a property manager. To name a few:

RealtyMogul

AHPFUND


Many financial products such as these have costs each month, additionally most will have a charge if you need to sell the loan prior to when the term is up, so be sure to understand the conditions prior to making investments.



Gold


Precious metals including Gold, Silver and Platinum have been utilized as cash for centuries in addition to being a safety investment, they can be tough to match. That is why, gold can go up in value very quickly when ever securities markets start to panic, making it a really formidable alternative . Due to the reduced correlation with stocks & shares, Silver and gold are often referred to as the best diverse asset. You could have observed if the world becomes unstable through conflicts & inflation, gold will improve in value and that's why it's known as a safe haven asset.

Numerous alternatives exist for purchasing gold, silver and platinum for example mutual funds, tracking funds and electronically traded funds (ETF's), along with purchasing physical gold and coins from a gold vendor.



Angel Investments


When you don’t want to own your very own small business, you might like to think about owning part of someone else’s. Often if organizations are seeking to raise capital, they sometimes utilize platforms in which they will trade company shares in exchange for start-up financing.

When you put your money into a startup's stocks, then you own a part of the company, so if it is successful, you then receive some of the profit. The danger is that if the company fails, you lose some or all of your investment. 



In Summary

The ideal way to be successful with investment opportunities will be to spread the risk between multiple financial assets. Therefore it's a smart idea to consider all the financial assets talked about above, as well as normal investments including shares, bonds and mutual funds.