This is for informational purchases only and should not be construed as investment advice.
What would you do if you had an extra $5,000 to invest? That’s a solid question because many people don’t do enough to secure their financial future.
You should look into setting aside 70% of your yearly pre-retirement income to retire comfortably in your 60s. This only happens with some planning and growth. Perhaps you have a hot investment that you’d like to capitalize on, or maybe you’re eager to invest or don’t know where to start.
We’re happy to help you learn how and when to invest when you have an extra bit of cash on your hands. Keep reading to learn more about how to invest 5K in a way that makes sense for you.
Start Investing Money in Stocks
The stock market is one of the most tried and true places to acquire assets. Anyone can get into buying and selling stocks as long as you have an internet connection and a funding source. There are a variety of commodities you can purchase and companies you can invest in that are publicly traded.
Look into the S&P500, NASDAQ, New York Stock Exchange (NYSE), and several other exchanges. You’ll be able to look into different investment opportunities so that you can grow your net worth, plan for retirement, increase passive income through dividend stocks, and other matters.
Study the markets so that you can determine the Price-to-earnings ratio (P/E ratio), Free cash flow (FCF), and various high points and low points. Subscribe to publications that break down the latest investments so that you’re able to stay up to date.
Look Into Crypto
Consider becoming an investor in cryptocurrency so you can get a big return on investment (ROI). There are a variety of crypto tokens that you can invest in, including Bitcoin, Ethereum, Litecoin, and several others.
New forms of blockchain investments are popping up every day, so stay tuned to different Initial Coin Offerings (ICO) to get a clear outlook. Crypto is growing by leaps and bounds and will provide a different stream of revenue. Look into the Netcoins crypto platform or other outlets to figure out the best places to invest in tokens.
Open a Small Business
Running a business is one of the most important ways to build wealth. You can take that $5,000 and use it for a startup based on something you believe in, or a stream of income that can pay off.
For instance, you can invest that money into opening an eBay or Amazon account and hitting the thrift store to buy items to resell. Take the time to research the market so that you’re able to learn your customer, your competition, and any obstacles that you’ll need to overcome.
You may also look to invest your savings so that you can keep pumping money into your business that will pay off long-term.
Learn How to Invest 5K
Consider the points above when you’re trying to learn how to invest 5K in a way that is meaningful to you. This is a great amount of money that you can invest no matter what sorts of goals you have in mind.
Use the points above and browse the rest of our articles so that you can learn as much as possible about business, finance, and so much more.
