Put Your Money Where Your Mouth Is: There Are Five Of The Best Places to Invest Your Cash

If you have a good understanding of risk and reward and are knowledgeable about certain markets, then investing could be a fantastic way for you to earn money. If it's done correctly it can be a great way to earn passive income, although it's important to be aware that no investment is guaranteed which is why you should never use money that you need to spend elsewhere. However, if you're in a position where you have money you can use and potentially grow in a big way, here are some ideas.

Stocks, Shares and Commodities
If you have a good understanding of the stock market and are confident you know how to approach things then this can be a great way to make money. If you're a newbie you could speak to a broker for advice or use sandbox style software, quants and other stock investors can use a professional trading platform that suits them. It's important to have a good working knowledge of how quickly things can change, you need to know when to be brave and stick- and when to bail and take what you have.

It's no longer just hardcore investors who are involved in cryptocurrencies; even normal non-financially savvy people are seeing the benefits investing into currencies. The issue with many of them are they are particularly volatile- even more so than stocks with values rising and falling in large percentages day by day. It's the kind of situation where you could earn big or lose it all, either way it's an exciting place to invest. Do your research into different types of currencies, make sure they're legit as there are plenty of scams and Ponzi schemes going around that will happily take your money.

if you know your way around the business world, instead of setting up more companies yourself why not become an investor? This way you can give a sum of cash to a promising looking startup, and in return, you get a percentage share of their business. Whenever they make a profit, your share goes to you, and you don't to do anything else. You could be more involved and act as a mentor if you wanted to, providing advice and help. But if you choose well, the company will get off the ground and do well with minimal involvement from you and turn a huge profit. You need a business that has an excellent idea for a unique product or service, but simply doesn't have the money to get off the ground. .

With any kind of investment comes risk, however when it comes to property your risks are far more minimal. Unlike with other big purchases like vehicles, for example, the value of property increases each year. It's always in demand and something that people need, so you always have the ability to quickly sell or rent. If you didn't want to be involved with dealing with tenants, you could hire an estate agent to manage things for you; they deal with everything from referencing chasing up rent and more. You could purchase property to rent out, or renovate and sell for a profit. You could even buy a plot of land and develop it by building properties from scratch. Councils are often keen for developers to renovate waste land to reinvigorate the area, so they will often be helpful and on your side along the process.

Peer to Peer Lending
Peer to peer lending companies works by matching up borrowers with lenders. As they cut out the bank (the middleman) they are able to offer lower rates. This means their customers as well as investors are able to profit from this. Again some risk is always involved, but because borrowers are carefully credit checked before being accepted, the risk to you is minimal- especially as this industry became regulated by the in April 2014. The peer to peer company you work with will do all of the chasing and hard work for you, meaning it's completely hassle free and a good option for increasing your cash. It will generate more money than even a high-interest savings account, so ideal if you're looking to make a longer term investment.

If you have money sat in the bank, making an investment is a way to turn a little into a lot more. Do your research and seek professional advice, but go about things in the right way and you can maximise the money you have with very little work involved.

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