To know your investor profile you must know to what extent you are willing to risk your money
Risky, conservative, or moderate, are the three major groups in which investors can be identified according to the risk they are willing to assume, and the expected returns.
Know and control the financial world, and is willing to risk your capital with the possibility of achieving greater profitability. Normally invest in equities with short terms.
He prefers to keep his capital safe, even if this means less profitability. Make investments in fixed income, in the medium-long term.
This type of investor is positioned between the previous two, because he wants to receive more profitability but without risking too much. Their investments in fixed income and equities are similar, and in the medium term.
The following is a list of the main investment alternatives that exist in the market, and that will help you choose the one indicated.
Ideas to invest money
- Real estate
It consists of buying real estate in order to sell them later at a higher price than they had at the time of buying them and thus obtain a global profit; or, rent them, in order to obtain a monthly rent.
Investing in real estate is one of the best alternatives since it provides an asset that hardly loses its value and that, despite the falls it may have, in the long term it is very likely to be worth considerably more than it is worth now.
What yes, demands a bulky amount of capital that hardly has any person within reach.
- Fixed deadlines
They are accounts managed by banks, which offer the payment of certain interests to those who place and keep their money in the entity for a certain period of time.
They are a safe investment and, unlike real estate, it does not require much capital to start investing in them.
However, they offer little potential for profitability and a low degree of liquidity since, once money is invested in a fixed term, it cannot be available until the agreed deadline has been met.
Even so, they are the alternative indicated for those who do not want to risk too much but would like to obtain a return for their money, in exchange for not touching it for a certain period of time.
- Foreign exchange
Investing in currencies is to buy different currencies in order to sell them later at a higher price than they had at the time of buying them, and thus obtain a profit.
Investing in currencies can be quite profitable, but also quite risky, since it is a highly speculative and volatile market, where any economic, political or social event can significantly affect its value from one moment to another.
The good thing is that not much capital is required to start investing in them, and they have a high degree of liquidity.
Works of art and collectibles
It is a fairly speculative investment, since it also consists of a purchase and subsequent resale, but it is quite profitable in the long term.
But it is also a rather risky type of investment because the objects are in danger of being stolen or destroyed until they are sold.
In addition, you have to understand a lot about this type of relics or works of art, since there is also the imminent risk of being scammed.
Investing in business consists of creating a business from scratch, buying a business that is already in operation, or financing the business of a third party, in order to obtain profits; or sell it at a higher price than it was at the time of buying it in the case of creating a business or buying one.
Although they have a high potential for profitability , they also carry a high risk, especially if you do not have the right knowledge and skills.
Generally, you need to have a good capital to start investing in them, especially in the case of purchase .