What does the traditional American investment portfolio look like? Depending on your investment confidence and your income responsibilities, portfolios can vary greatly:
- they can be aggressive, favoring great risks to get great returns
- they can be defensive, focusing on staples that are impervious to downturns
- They can be speculative, which is close to gambling with high risks
- They can be income-based, building a portfolio from dividends and stakeholder distributions
- They can be hybrid, mixing up different strategies and assets
Most homeowners prefer a defensive or dividend-based approach. However, you are more likely to grow your investments through a hybrid portfolio. Here are some essential ideas to boost your returns.
Smart Ways To Grow Your Investments
Make high ROI home improvements
Real estate is one of the best investments, providing owners stability. Real estate value can fluctuate depending on the market situation. However, the property market is not subject to sudden drops, unlike other markets. Besides, dealing with a tangible asset, aka a home, makes it a lot easier to manage.
If you are considering selling your home in the future, making valuable additions can dramatically increase the price offers you’ll receive. Some of the most popular additions include a fireplace and an inground swimming pool.
Cryptocurrency investments
Bitcoin is a promising investment venture for enthusiasts willing to learn the basics of crypto investments. As of March 2022, the value of Bitcoin hits over $43,300 on the exchange market. Therefore, the potential for a profitable investment remains significant with the right mining strategy. You can acquire Bitcoin in three different ways:
- Via purchase on the exchange market
- Via your business, if you sell goods or services and name Bitcoin as a payment method
- Via mining, which encourages you to process a crypto transaction in exchange for a Bitcoin payment
Individual investors often think the purchase is their only option, as Bitcoin mining requires extensive computing networks. However, you could grow your Bitcoin portfolio via professional mining solutions such as Quote Colo, which provide all the tech power you need. In a hybrid portfolio, crypto investments can be a great way to build a return.
Choose reliable long-term assets
Throughout history, gold has always been perceived as a strong value. From cold coins to treasures hidden by kings and queens, gold has been a part of human history for millennia, and for a good reason: It provides protection against inflation and deflation. Gold holds its value despite uncertainty. Gold should be part of a hybrid portfolio, as it may not be the strongest asset depending on periods. Yet, in the long term, gold can help preserve your wealth and build a balanced portfolio.
Finding the right dealer for precious metal investment can be crucial. You’ll need to Google “where can i buy gold bars” and do extensive reserach on every option. In addition, it is essential to choose a reputable dealer and invest in certified gold bars or coins. Having physical possession of your investment can also provide additional peace of mind.
If you are concerned about physical gold and jewelry, gold mining shares and gold ETFs offer substantial returns starting from a low cost.
As a rule of thumb, financial advisors always recommend building a hybrid portfolio, which can be diversified enough to create growth and value. With a hybrid portfolio, the key to investment growth is to focus on relatively stable choices that can increase your returns in the long term, such as investing in a property prior to selling or mining Bitcoin. The options mentioned above are unlikely to crash in the near future, making them perfect for prolonged growth. They also enable you to take more risks with your other investments, as they act as a backup plan.
Jessi is the creative mind behind The Coffee Mom, a popular blog that combines parenting advice, travel tips, and a love for all things Disney. As a trusted Disney influencer and passionate storyteller, Jessi’s authentic insights and relatable content resonate with readers worldwide.