By John Smith CrowdFundBeat Guest Post,
Investing in modern alternative versions of stock can be a double-edged sword. It’s a very lucrative but highly risky way to make a difference in your life by getting huge returns on your investments. What you’re going to invest is entirely up to your personal tastes and gut-feelings; because these days, companies, businesses and initiatives come and go like the wind. The ones that remain on their feet have somehow managed to prove that the game works, so why not give it a shot at some of the best alternative investment options and see how it goes?
Just make sure to start off with small sums as to not lose too much capital if anything goes upside-down. What are some of the best investment ideas with high returns that you can try out? Here are some great ideas you can check out.
1. Peer loans
Websites such as Prosper.com offer an interesting new way of lending money; peer-to-peer, without the official bank middle-men to make things difficult with their paperwork and long processes. The return rates on peer-to-peer loans these days wary depending on the amount of capital, and the risk involved. All the parties in these peer-to-peer systems are rigorously screened and followed-up on, so there’s no way to actually lose money if someone plays dumb on you; that goes both ways. Lending someone moneys as a peer and waiting for a return is a good way to start in alternative investments; the entry rates go from 25$ and up, so it’s easy to pick up and go, or leave if desired.
- Broadway shows
While it may come as a surprise, investing in a Broadway show and making sure it has enough budget to cover the production costs and get off the ground is a great way to earn money while earning some producer’s rights on the side. Sites like BroadwayInvesting.com offer insight on how to get started; it’s usually a good way to start off with small shows and work your way up from there, since some of the more known require a steep entry investment to get you into the game and you never know, they might turn out good, or they might not. Such is the fate of alternative investments.
- Hard money loans
Investing in private mortgages offers a strong return that’s secured against an asset. With typical loans lasting about six months and yearly turnarounds being upwards from 10%, investing into a real-estate borrower is a good way to earn money. There’s less risk involved since there are loan brokers who serve as middle-men between the investors and borrowers and they care about your interests for a small interest of their own.
The risky and fruitful investment of the 21st century, startups offer a great way to make money while funding a small organization getting off their feet. The amount you’d have to invest is usually up to you, if the startup itself doesn’t have an investment system in place. Just keep in mind that it’s going to take a while for your investment to return with interest; some startups are fast-growing while others take longer to get off the ground.
- Secondary markets
The alternative investment with the highest entry curve and also the biggest profit to be made is investing into shares that haven’t gone public yet. This can be done on special websites such as SharesPost that offer an insight into shares and stock that hasn’t gone public yet and is usually sold by the founder themselves or a high company officials and they range from 100,000$ and upwards which, as you can tell, is reserved for only the highest class of investors looking for the long game and love to take risks with their money.
Finding a suitable alternative investment to fit with your budget and business mantra doesn’t have to be that challenging. It’s very important to assess your goals before getting started. Consult with your financial advisor and make a sturdy business plan. Analyze pros and cons, but especially potential risks involved, and then you can get started. If you’re new to high-risk alternative assets with a high return potential, then the best advice is to invest with caution if you want to reap benefits.
By John Smith and WineInvestment.com!