Discover the Various Forms of Investment at your Disposal
Surely you know someone who has built his wealth from investments: he owns a couple of properties in Bahria hills, cars, and vacations every year.
You can also achieve this by considering everything that will make your wealth grow with an investment strategy built over the years.
To enter the investment field, you should know that the results are not always good: sometimes, there are losses by not making the best decisions.
To grow your wealth, you have to invest your money wisely.
In this text, we will tell you the different investment options so that you can choose one or more according to your profile and needs.
Everything will depend on the type of investor you are.
If you don’t know, we will tell you who you are in the investment world.
The investor profile is determined from multiple variables:
- The age and time horizon of the investment: will determine how long you are willing to wait to enjoy the fruits of the investment.
- Income: what you currently receive and want to have in the future.
- The financial obligations contracted: the more you have, the less your ability to save will be.
- Saving capacity: it will be an important factor when investing.
- Risk tolerance: how much you are willing to risk.
- Financial literacy: It is easier to invest in something known than in something unknown.
- The object of the investment: defines how the invested resources will be used.
- Desired return: return you hope to obtain on your investment.
All the points build your profile, but some will determine if you are a conservative, moderate or risky person.
Answer The Following Questionnaire and Define What Profile You Are
- How long are you willing to wait for an investment profit?
- Short-term, b) medium-term, c) long-term.
- How much of your savings are you willing to invest?
- 20 percent b) 50 percent c) 100 percent
- The word risk means to you:
- Insecurity, b) contingency, c) opportunity
Majority of A
- Conservative profile: You are an investor who prefers to avoid risks; you are looking for investment instruments that guarantee not to lose part or all of the money you intend to invest. You do not care that the profits obtained are low.
Majority of B
- Moderate profile: You are a cautious investor with your decisions but can tolerate moderate risk to increase your profits. You want to maintain a balance between profitability and security.
Majority of C
- Risky or aggressive profile: You seek the highest possible returns and are willing to take risks in the markets; You opt for the instruments that promise the highest returns even though you risk losing most of your investment.
Since you know the investment profiles and determine who you are, you can choose the most suitable investment option for you: the percentage of risk you will reduce, the more intelligent your movements are.
As for the amount of money you should invest, the answer is personal and depends on your goals: if your goal is to get a large sum of money, you will most likely have to invest several bills.
On the other hand, if you want an average return on investment, the amount will also be measured. It would help if you never forgot that there is always a risk; the riskier the investment, the more likely you will lose everything.
Invest in Stocks
Companies issue shares to finance themselves, and those who buy them get rights and benefits, such as dividends.
Investing in stocks is not about enjoying the money that the company offers but about selling them in the future when these titles have a greater value.
You can buy a stock for $ 100 and, in a couple of years, sell it for $ 1,000 or $ 2,000. The profit is very big, right?
It seems to be a very attractive way to invest. However, you have a high risk since this market is highly volatile and is affected by economic, political, or social factors that influence the price of shares.
Due to the accumulation of variables at stake, it is recommended that you invest in stocks if you have the necessary knowledge in this field.
This type of investment is indicated for risky profiles.
Invest in Bonds
Suppose you are rather a conservative or moderate person. In that case, you can choose to invest in bonds, which are debt securities issued by some companies or institutions to finance themselves.
In this way, that entity would be making you periodic payments with interest.
Bonuses are like income; from the beginning, it is determined how much money you will receive and for how long.
It is considered a low-risk investment since you know in advance how much you will receive in interest and that they will not vary until maturity.
The problem is that the bonds are usually not insured, and if the company that sold them goes bankrupt, likely, you will not receive the amount agreed upon before.
Investment Funds
With the management of a professional, you can put your funds together with that of other investors so that they are invested in different assets, such as stocks or bonds of a company.
The administrator will buy and sell the assets and distribute the money among the investors.
It should be noted that investors are not aware of the money in the fund, so they cannot calculate how much the profit will be either.
There are different investment funds that we can access, according to our profile as investors (conservative, moderate, risky) and with the profitability, we want to obtain.
Fixed-term Deposits
This is a simple investment method. It consists of keeping a certain amount of money within a banking institution for a certain time.
In exchange and at the end of said period, the bank returns your money with a certain percentage of interest.
The bank may charge you a penalty if you need to withdraw the money deposited in the account.
This is one of the safest options and the one that conservative investors choose the most since, from the beginning, it is stipulated how much interest you will receive during the stipulated term.
Another plus point is that you don’t need financial knowledge to make this investment.
The disadvantage is that the interest you will earn is very low, and it hardly helps you build equity.
Investment Through Crowdfunding
In the explosion of startups or micro-companies, crowdfunding arose, which consists of financing a project and expecting a return on investment in the medium term.
They are generally carried out on online platforms and without intermediaries.
Depending on the money you invest, the benefit you get will be, of course, dependent on the scope of the project you invested in.
There are 3 Benefits You Can Get:
- Receiving a reward in the form of a product or service is generally for small investors.
- Obtaining shares or participation in the company. You need to make a large investment.
- The return of the money with interest varies according to the amount borrowed and the term.
Acquire a Franchise
The franchise is the right granted by a certain company to open a store of its brand.
Unlike opening your own business, with the franchise, you have the support and reputation of the company, and therefore, you enjoy the credibility and loyalty of customers.
Keep in mind that this type of investment is long-term and requires spending a lot of time either supervising or working the premises.
You are part of the company, you must follow the guidelines imposed on you, and a parent company will always guide you.
This means that you will not be able to change the business or the operation since the parent company must always approve everything.
This investment plan has advantages and disadvantages; see if you can work under this scheme.
Loans Between People or Peer-to-peer Lending
You have a small sum of money that you can give to another person, always hoping to have benefits.
In this modality, no financial institution is involved but a technological platform over the internet.
This way, the money is borrowed faster, and profits are made at the same rate.
This sector has considerable potential in Latin American countries, especially in Mexico, where banking institutions place many requirements on people when granting a loan.
The truth is that clients pay low-interest rates, although investors receive a higher return than if they invest in other financial products.
Another advantage is that you do not require much financial knowledge since the intermediary platform takes care of all the accounts, and you wait for the benefits to arrive. Do you like the idea?
Invest in a Property
If you are an investor with a moderate profile but want a fairly attractive return on investment, you can choose to invest in park view city.
It is not a secret that the prices of houses and apartments have increased over the years and more in the main cities of Mexico.
This means that the faster you decide to invest in real estate, the more valuable your property will earn over the years.
According to an article published by Forbes Mexico, the average price of a home has tripled in the last 10 years in line with demand. That means a huge profit opportunity for real estate investors.
This is because the demand has exploded in recent years, but there is not enough space to build so many buildings.
Following this trend, if you invest in a house today, its value will multiply in the following years.
The investment risk is almost zero unless you buy a house in an environmental risk area or an area that tends to devalue over the years. Yes, there is the possibility of a devaluation.
Due to the demand for housing in Mexico City, the metropolitan area, Puebla, Hidalgo, Querétaro, and nearby cities, this risk of devaluation is infinitely low.
The great advice is to invest in a stable neighborhood or delegation with a promising future.
Buying a house or apartment as an investment and renting it is one of the best decisions to make your wealth grow rapidly.
Start Your Heritage Today.
After reading all the options, you will realize that a house or apartment is a smart investment.
Yes, acquiring an estate requires a lot of investment, time, and money, but it brings multiple benefits that will last through the years.
If, to date, you have not invested in a property because you had problems traditionally demonstrating your income and being able to obtain a mortgage loan, today, you can start your investment project with ION Financiera.
We offer facilities for income verification, which is the first problem independent traders and entrepreneurs have when they approach a banking institution.
The Mortgage Credit to Acquire your Home can be up to 10 million pesos, having a 10 percent down payment and the option of choosing a maximum term of 20 years.
At ION Financiera, we are interested in supporting you in growing your assets. That is why in our Mortgage Credit to Acquire your Home, we offer you the following:
- Response in 5 business days.
- Easy to check all your income.
- Personalized attention and advice.
- No penalty for prepayments.
- Fixed-rate and payments throughout the life of the loan.
- With the possibility of adding income with relatives and acquaintances.
- Includes life and damage insurance.
Once you gather your documentation and enter your credit application, you will have an answer in five days, and you will be taking the first step in your investment project.
Without a doubt, this is the smartest way to grow your assets.