Alternatives to Investing in the Stock Market

01
April

With the stock market in shambles, there are a lot of people who are weary of tossing their money into the S&P or the 500 just to see it disappear within a matter of months. People are watching their investments go down the drain by too much, too quickly. If you’re looking to invest your money elsewhere, there are many alternatives to the stock market that you might want to consider.

Land

One of the best investments you could ever make is on a piece of land. It’s the one investment that nobody can make more of. Even though property value has gone down and the estate tax is growing by the minute, property value will eventually come back up. When you’re looking at land as an investment, don’t look for pieces of property that are near highways or heavily traveled roads, as the government has the power to take over when expanding their streets.

Precious Metals

Gold is one of the biggest investments that people can make. Haven’t you seen those commercials for people who are willing to pay top dollar for broken jewelry? This is because the value of gold has skyrocketed over the last couple of years. Investing in precious metals is a great alternative to the stock market.

Existing Mortgages

Making additional payments on your existing mortgages are a great way to cut down on future spending. If you’re shaky about sending your money over to the NYSE, put it where you know it’s going to make good use. Sending off another couple hundred of dollars every month to your lender will definitely pay off by cutting down on the annual interest you’re paying on your home’s mortgage.

Franchise Opportunities

Even though small business isn’t the greatest investment to make right now, there are a lot of franchise opportunities on the market that you can invest in for fewer than ten grand. Investing in a low cost franchise is a great way to leave something for your heirs and have security in where your money is going.

Education

If you haven’t reached the age to draw retirement, investing in a high degree could be an excellent way to get your career booming. There are a lot of local universities and community colleges that offer rock bottom tuition for programs where skills are in high demand. Education is one of the best investments you could make.

Annuity

A fixed index annuity is a great alternative to the stock market. This is something that is offered by insurance companies and will grow tax-deferred over a period of time. This is a great way to get income for a lifetime during your retirement. When you get a fixed index annuity, your principal is guaranteed.

Retirement

Maxing out your retirement fund is a great way to put money away for the future. The limits on IRA contributions have been extended and people are now able to give 3,000 instead of the previous 2,000. If you’re over 50, you can even toss in an additional 500. If you have a 401k, you can give up to 11,000 dollars per year. If you’re employer has agreed to match the amount in your retirement fund and you’re not taking advantage of their program, you should definitely get all the information to look into this.

Investing in your future is one of the best investments to make. The stock market has always been a tricky game, but right now it’s even worse. Thinking about how you want your money to play out over the next couple of years is a big deal, so picking the investment you want to make is essential to keeping your money where it needs to be: in your possession. Investing in land or in a new business with a great niche market is a good idea at any time. Don’t let the recession fool you. There are always profitable niches in any economy. Do your research and pick the right investment for you.

This post was written by

jason – who has written posts on Budget Clowns.
Father of three and married to a lovely women. Always looking for ways to save money, and invest it properly for my children's future.

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