The coronavirus pandemic might be a global health crisis, but its severity has affected more than just that. Many businesses have fallen (some without the possibility of reopening). Many people have, in turn, lost jobs and homes from their loss of income. Add to this the fear and anxiety of the possibility of an economic recession, and it’s no wonder that many people are wary about making investments or big financial decisions.
However, various financial experts believe that now is the right time to invest in a business or a project that you feel passionately about. Not only will you potentially be making money for yourself, but you could also be an angel investor helping a startup with their next big project.
So what kind of investments are worth making this year?
Stocks remain the gold standard when it comes to building up your investment portfolio. What kind of shares? Given the current situation, the healthcare industry is still a strong contender. Financial experts believe it’s a durable sector that even though you might experience low returns in other sectors, healthcare would remain stable.
2. Check out the Housing Sector
Are you thinking of buying a new place to live in or hoping to sell your current home? Regardless of your motive, real estate remains a viable investment option. In a surprising turn of events, the real estate market continued to boom despite the US still battling the coronavirus pandemic. The one caveat going with this route, though, is that it would need a considerable amount of money from you.
If you’re the buyer, you could always take out a mortgage. If you’re the seller, boost the value of your house by looking into home equity loans you could use to finally upgrade to that quartz kitchen countertop you’ve always wanted.
Still short on funds? Look into real estate investment trusts instead of investing in properties in full. Think of it as mutual funds where you’re investing in commercial properties, warehouses, or retail spaced with a pool of other investors.
3. A Side Hustle
Most of us have been working from home since the coronavirus was officially declared a pandemic back in February and have probably been looking at something else to do besides our current job. A recent survey showed that nearly 25% of Americans have a side business or job, so now’s the perfect time to look into doing that passion project you’ve always wanted to do.
You could get started on your business now even if that side hustle you wanted to do was to sell your hand-crafted items in a retail store. Thanks to the imposed lockdowns, many people have begun relying on online retailers for their essential and leisure goods. You could take advantage of this boom by creating your own eCommerce store.
And if it’s not your business idea, consider investing in a friend or colleague’s new venture. This takes the pressure off of you, and you can help your friend out in the process.
For many of us, letting go of our hard-earned money on various projects seems like a risky deal. However, if you do the proper research and listen to the right experts, you could be looking at growing your money exponentially.