How To Invest Money?


Investing money rather than letting it sit in the bank is one of the many decisions that most people make with their excess finances. Setting up a savings account is not bad but investing the money instead offers a chance to increase the amount significantly allowing the investor to cope better with rising economic costs. Investing is however not an easy task. It is risky, but the rewards are equally great. There are numerous ways of investing one’s finances depending on the preferred type of investment. An investor must consider the investment options that are available, the risks that are involved in each investment option, the returns to be expected from each investment, the ideal time to invest and the duration that each investment will take before returns yield.


Most investors choose to invest their funds in shares of selected companies. Purchased shares grant the investor a proportion of ownership. This means that the investor receives a share of the company's profits in terms of dividends. The more the shares a person owns in a firm, the more the dividends. It is, therefore, wise to invest in a company that has a lot of growth potential. The best companies to invest in are those that can create value and at the same time generate attractive profits. Investments in shares require a lot of capital and patience in order to turn in good investment returns.

Property/Real Estate

Many investors have become millionaires by investing in the property markets. This involves the creation of buildings for residential and commercial purposes. A person looking to make money from such investment opportunities should have access to a large pool of funds. This is because construction requires a lot of money and the person must also purchase land on which the building will be set up. Such investments also take a large amount of time, and it is important to evaluate the potential of the business to bring returns in the shortest amount of time possible. The property must, therefore, be situated in an area where there is ample clientele.

Real estate investment can also involve purchasing land for the purpose of selling at higher prices based on speculation. This is because property such as land has a tendency of appreciating in value. Real estate investors have come up with a new form of investment where they offer debt equity to developers instead of owning the houses for themselves. This is less risky as many investors learned during the 2008 financial crisis.

Fixed interest securities

Bonds are the most common forms of this type of investment. They are loans that people give to the government or companies. Bonds are issued based on a maturity duration period where the amount loaned to the government or particular company is returned with interest. Investors can loan their money depending on the amount of funds they wish to invest. The higher the investment, the higher the returns an investor gets.


how to invest

Banks and societies offer savings services where people can securely save their money. These savings accounts often accrue interest on the money deposited based on a monthly or annual percentage of their deposits. This is also a good form of investment, but it best applies in cases where deposits are large so that they can facilitate constant and ample returns. Banks and other financial services offer these interests to account holders and in turn, they collect a pool of funds that is used to offer loans to individuals and other institutions at higher interest rates.

Foreign Currencies

This is an alternative form of investment that involves making gains from forex movements. One of the characteristics of currency is that it is volatile, meaning its value regularly goes up and down. Investors are therefore able to make gains from a currency pair because at any one point, on currency will be strong or weak when compared to another. In layman’s language, an investor can purchase a currency when its value is low and sell when its value goes up. Investors who use this investment path rely on economic information and at times political and social influences to determine which direction a currency will take.

Option Contracts

Option contracts by definition are contracts that allow the buyer to take up rights to a particular object or asset though it does not grant obligation to purchase and sell the asset or object. Options are thus contracts that have clearly defined terms. One of the most popular forms of options in the modern world is Binary Options. This is a form of trading which is done online. The investor bets on whether a currency pair, commodities or indices will rise or fall in value after a specified duration of time. This is a very risky investment path, but returns can be quick depending on time chosen and the investment strategy used. Binary options also require proper understanding of the markets and technical analysis. It has been argued for a long time that binary options are a form of gambling because investors make or lose their money depending on whether a trend moves up or down.


Investors can also predict price movements in commodities such as energy, metals, food and other items that fall into this category. They provide diverse options for investors beyond traditional investment in bonds and stocks. Investments in commodities are not popular among investors because they require a lot of knowledge, time, and money. Stocks and future contracts are some of the ways in which investors can make money out of commodities. An investor can decide to purchase stocks from mining and drilling companies and in futures, they purchase options to buy or sell particular commodities at specific prices.


Collectibles can be in the form of art or priced artifacts. Most investors, especially in the western world, purchase priced works of art or expensive and limited edition vehicles especially of exotic nature so that they can later sell them off at higher prices. This has for a long time been a preserve of the wealthy, but it is increasingly becoming an accepted form of investment in many countries.

Algorithmic Robo Advisors

Robo advisors make the whole how to invest money process much simpler. Wixifi is the only robo advisor in India to offer algorithmic investment services with superior back tested performance that is transparently published on their website.

Every form of investment out there requires great wisdom, patience, and a substantial amount to sustain attractive returns. Typically robo advisors make this process much simpler for you.


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