You can invest in almost anything these days. When it comes to investments, people will always go for the big catches like property, but there are always alternative approaches that we can all try. Alternative investments are crucial because they can help us diversify our portfolio. So if you are looking to branch out, here are some approaches that you could try.
Cryptocurrency is something that everybody is aware of, but still feel that it’s a sketchy investment at best. But the fact is that there are more Bitcoin ATMs and Bitcoin exchanges available that you can easily invest a slight amount into and see where it goes. Cryptocurrency covers numerous types of currencies, but if you really are concerned that it’s a dead investment, you only have to see how much of a journey Bitcoin goes on every single year!
Venture capital is a great way for you to look at businesses that you may have faith in when they are only just starting out. Venture capital firms provide money for these businesses and they will see a return when the company starts to either issue stock or is acquired by another business. You can find numerous consumer venture capital companies, but it’s important to remember that these types of funds may require a bigger investment than normal.
Commodities are resources such as precious metals, crops, fossil fuels, and livestock. It can be a volatile investment because of natural disasters, war, or famine, but because these are commodities that have been around for a long time they can be better long-term options. If you are looking to put money into something and not see a return for a long time, this can be an excellent choice.
This is where you invest in a company that does not issue any form of public stock. You contribute to the company and receive the return on the investment when the company hits a certain level, for example, when they start offering stock publicly or becomes acquired as part of a merger. Similar to venture capital, private equity can be risky, but if you want to have a hands-on role in shaping a company’s future, this can be a good option to diversify your portfolio. You can invest in private equity by purchasing shares in exchange-traded funds, which has been better than the stock market in recent years.
These are similar to hedge funds, managed futures involve gathering investors’ money and investing in numerous financial practices. Managed futures are different from hedge funds because they are more regulated. Managed futures are also more accessible than hedge funds because of the level of investment. Hedge funds can start from $500,000, but managed futures can be a few thousand.
If you are looking to diversify your investment portfolio, or you are at the point where you need to truly look at your estate, these are some alternative options that can help you to start a new journey.
(Disclaimer: This content is a partnered post. This material is provided as news and general information. It should not be construed as an endorsement of any investment service. The opinions expressed are the personal views and experience of the author, and no recommendation is made.)