Feb
22
What Gives The Highest Return On Investment?
ByI know I’ve put the question very vaguely, but it seemed to me that people who get ahead with money must have some secret I’m not getting. I’m sure there’s a better way to achieve a higher return on investment than via high risk, volatile shares.
It has to be said 8% average is rubbish!! Not good enough! How will anyone make any money off that?! Meanwhile I see banks are happy to claim 18% APR so they must be making at least 15%. I would think many businesses make a net profit of at least 20%. What should I invest in? Thanks for forgiving the rambling.
23 Comments
February 22nd, 2010 at 11:03 am
I guess if anyone has a good answer to this question, there will be many more millionaires walking around.
Investment is what it is… it’s all about taking risks. I think what’s happening in the American economy now illustrates this point. The big banks, long considered the growth machine is taking a beating. A lot of rich people that invested in hedge funds and “specialty funds” that cater to rich people took a beating… sometimes more than the average investor.
Unfortunately, the best way to achieve the highest return “legally” is to diversify your portfolio and take risks in small increments depending on your age. Also look at your investment in a long term. There maybe years where your investments go up 30%, but go down 20% the next year to even it out. Believe me, 8% average will look like a good thing.
When the banks charge 18% APR, it’s because they are taking a lot of risks. Remember that many people will not be able to pay back their loans. If you average out the losses, it will all even out.
Sorry to pop your hopes, but investing is a fickle animal…
February 22nd, 2010 at 12:13 pm
Buy Low, Sell High…. “Dumb Money” never does that, and 80% of the world is dumb money. I’ve been in the business for 17 years and I’m still astounded at the stupidity of the average investor.
Also your confusing in your second paragraph, gross margins & profit margins… HUGE difference, although one can lead to the other. Bank profit margins are generally low… very competative business. http://finance.yahoo.com/expert/article/…
February 22nd, 2010 at 1:24 pm
Become a loan shark.
February 22nd, 2010 at 6:22 pm
Property, during a property boom.
February 22nd, 2010 at 6:43 pm
I will take 8% annually. Wise investors know that is a very respectable return.
However, I may be able to help you if you are a long-term investor. You sound a bit impatient to me, so this may not be for you.
Go to : low-cost-stock-recommendations
.com
Click on the “DRIP’s” Button on the Navigation Bar
These long-term plans are one of the best investment strategies on Wall Street. Yet few people make use of them. If you decide you are interested, click on the “ING” advertisement on the same page, as it will answer your next question…….and that is ……how do I get started?
Good Luck
February 23rd, 2010 at 1:30 am
Buy property when it’s down and sell when it’s high.
No easy way to make money. You have to put work in it too.
If you buy houses you need to rent them. That’s work.
My broker spreads my money around so I am at lower risk of losing everything in on loss.
February 23rd, 2010 at 4:13 am
GOLD!
February 23rd, 2010 at 7:39 am
All I can find is a fixed bond which gives 6.35.
February 23rd, 2010 at 2:31 pm
HEY! LOOK AT THIS!!!!!
If you’re unhappy about the banks charging high rates for loans, and not passing them on to the investors, then why not give loans yourself? I’ve been giving loans for nearly a year, and have been very successful.
I use a company called Zopa which is a lending and borrowing exchange that matches borrowers to lenders. You choose your interest rate, you choose the duration of the loan, and you choose who you lend to according to credit rating, so it allows you to manage the risk. But more importantly, it cuts out the banks so you get to keep all the money!
Apply via this site:http://www.zopa.com/member/The%20Hulk
and it’ll lead you to a special introductory offer. They’ll give you £30 free if you lend out more than £500.
February 23rd, 2010 at 7:47 pm
invest in ~currency~ look it up learn about it and than start
you have to get used to buying and selling.
February 24th, 2010 at 1:41 am
You can open an free Marketiva forex goldfundindexs online trading account , with $5 reward and $20000 virtrual fund for practice .Just click the following link to open an account.http://www-forex.spaces.live.com
February 24th, 2010 at 7:05 am
8% is not rubbish, especially when it is compounded over time. Of course the higher the better, but 8% interest with no additional funds invested will double in 8.5 years, that’s is you just put in money once and let it ride. The highest returns, overall will be the highest risk stocks are frontier markets, but the risk is phenomenal you are truly getting into shady business.
February 24th, 2010 at 10:54 am
I’d say stocks. Find a technology business like GARMIN, or Apple. Any technology industry thats highly known and supported but hasn’t producedanything new in awhile. Then buy some stocks with a percent of your money, hold onto it for a few months and boom! there new product they’ve been working on but haven’t told anyone gets advertised and the stock goes up 50%. Sell quickly, and your 200 bucks turns into 300 in just a few months. I invested some money for my friend in GARMIN and did that exact thing.
February 24th, 2010 at 11:59 am
High return = high risk. How much of a gambler are you?
February 24th, 2010 at 6:52 pm
now that property is bottoming out you should get a mortgage in place and try to hunt down people who desperately want to sell their property and offer them a lot less than what they are asking.If you are offering cash this should not be hard to find.Make sure the rent for the property covers the mortgage payments and more.Then ask the sellers if they would like to rent it back,if not then some one else will.Now if you got a big enough discount on the purchasing price(VERY IMPORTANT)you can remortgage for the true price and put around 10% of the property price in your pocket(TAX FREE) and then someone else is paying for your second house.After you do this,,buy another one ,,,,and then another one,,,,,We are in a buyers market
February 25th, 2010 at 1:23 am
This is a question you should find an answer to with care, and perhaps after reading many books and asking for professional advice. Investing isn’t something to be done in a rash manner like playing poker, especially in these times when the markets are volatile.
February 25th, 2010 at 5:22 am
stuf your money in the mattress. You will get 0% return, but that’s better than anything else right now,
February 25th, 2010 at 7:57 am
education
February 25th, 2010 at 10:11 am
Credit card companies do not make 18% off all customers. Dead-beat customers like me pay their balance in full each month thereby depriving the bank of lucrative interest payments.
February 25th, 2010 at 4:04 pm
Investment returns is correlated with how much risk you are willing to take. Huge returns can be made investing into a common stock. With the current market I would suggest finding a Mutual fund within your tolerance of risk vs reward.
if you go to a financial website it should have risk tolerance calculator to help you decide where your at.
February 25th, 2010 at 4:45 pm
lottery
February 25th, 2010 at 10:05 pm
You will have to do your own research on that. Higher returns usually mean HIGHER risk (and conversely, higher risk of loss).
SAFE and HIGH RETURN are words that are usually never used at the same time to describe an investment.
February 26th, 2010 at 4:57 am
All or nothing on black…