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Search Results for: investment

How to Make Sensible Investment Decisions

September 25, 2019 By Leave a Comment

Judging by the way the markets have behaved in the last couple of years, you may be wondering if the time is right to make changes to your investment portfolio.

Pundits agree that a few rogue investors, including bargain hunters and other Johnnie-come-lately briefcase types, are rushing to dish out investment advice online without considering their long-term financial goals.

While it’s not easy to foretell when the next stormy financial turbulence is going to occur, or dish out accurate information on how to manage your investment portfolio before the volatility hits the market, we’re delighted to provide an ultimate guide to help you make powerful investment decisions.

  1. Your age

An essential factor to consider before making an investment decision is age. The younger the generation you invest, the better. This is because you have a good salary, fewer expenses, fewer responsibilities, more energy to absorb risk, and you’re likely to live for a more extended period to see your investment bear fruits.

As you age, you may want to take into account a variety of other factors like marriage, retirement planning, etc.

Besides, you’ll have a shorter time for your investment to provide a return.

  1. Understand what you’re investing in (products)

A wide array of financial products offers many benefits to investors today. The only problem is they’re complicated. It’s important to understand these products before choosing to invest in them. Knowing their intricate details ensures that they not only meet your needs but also provide handsome returns. If you are new to investments or are experienced but want to learn more, check out https://www.spaceshipinvest.com.au/.

  1. Prepare a financial roadmap

Before rushing to make any investment decision, and especially if you’ve never made any financial decision before, sit down and take a hard look at your entire financial situation.

The first goal to successful decision making is figuring out the risks involved. There is no guarantee that you’ll get a good return on your investments. But even when the odds are stacked against you, and you have professional advice, you can gain financial security when you have a sensible financial plan, and enjoy the benefits of managing your money.

  1. Consider diversifying your investments

By diversifying your investments, you can protect yourself against significant losses when returns fluctuate under different market conditions. Chances are the returns of the three main asset categories: bonds, stocks, and cash will rarely fluctuate at the same time.

One market condition that prompts one asset category to perform well many not necessarily make the other asset category do well as well. By investing in different asset categories, you spread the risk of losing money, thus making your portfolio get a smoother ride. Most celebrities are investing in other areas too, setting a good example for everyone else.

  1. Pay off your debts

Few investment strategies pay off well when they carry heavy loads of debt. If for instance, you owe money on credit cards, the best thing you can do under any market circumstances is to pay off the balance in full as fast as you can.

Huge payments on student loans, credit cards, or mortgages eat away your investment funds. A sense of guilt or obligation can discourage people from opening an investment account and saving for retirement before paying off debts. Nothing could be far from the truth.

Before investing, many people wonder whether to pay off or not to pay off their debts first.

  1. Buy cheap, sell high

Moving money from an excellent performing asset category to a poorly performing asset category may not be easy. But it can be a prudent move. By cutting back on winning assets to boost losing assets, it enables you to buy cheap and sell high.

This strategy, called rebalancing, can be done based either on your investments or the calendar. Many advisors recommend that investors rebalance their portfolios, possibly every six to twelve months.

The advantage of this strategy is that the calendar reminds you of the date to rebalance. Other advisors recommend that you should rebalance only when the value of an asset goes up or down more than a given percentage planned advance. The advantage of this strategy is that you know in advance when to rebalance. But the rule of the thumb is rebalancing works best when done infrequently.

  1. Risk tolerance

According to experts, the higher the investment risk, the higher the return. It’s essential to assess your level of risk before choosing an investment instrument. Once you know your risk-taking ability, you can opt for a variety of available options for that risk type.

Filed Under: Personal Finance

Why Luxury Homes are Good Investment Homes

August 9, 2017 By 1 Comment

staircase-274614_640When it comes to investing, many experts agree that real-estate is one of the less volatile and safer ways to make money. There’s several ways you can dabble in the property market. Buy a fix-and-flip turning it over within weeks of purchase, build a portfolio of rental properties or invest in the luxury home market.

Buying luxury real estate can be better than having money in the bank

If you’re investing in a good area, buying luxury real estate will always provide you with a good capital gain making it a wiser choice then leaving your money in the bank. Enlist luxury house builders in Melbourne to construct a brand-new home with all the comforts or buy an established home in your chosen-up market area. Either way, the potential for a substantial profit is great.

Beyond monetary growth, buying a high-end property will enable you to enjoy several lifestyle benefits such as a pool, a five-star kitchen or a bathroom that will rival any top hotel. Entertaining and hosting extended family and friends is made more pleasurable when you’re in a home with all the luxuries.

A luxury home will also yield a greater rental return if you choose to purchase a high-end property as a rental investment. It also typically attracts an upmarket tenant who’s likely to look after and maintain the property well.

A luxury home can be the key to a comfortable retirement

For many, building a real estate portfolio is crucial in achieving a comfortable retirement. It’s estimated for a couple in Australia to enjoy a reasonably comfortable retirement they’ll require about $640,000 in savings. For those who wish to live a more elaborate lifestyle or leave their children an inheritance, they’ll obviously require a greater nest egg.

For many, this is not going to be achieved through super and employee savings alone and investing in luxury property may be the key. In a situation where you’ve purchased a high-end home in a well sort after area known for its growth, you could make enough to live comfortably during your later years.

When you near retirement, selling the property may give you ample profit to purchase a smaller home and cover the cost of living when you retire. If your kids are lucky, they may even enjoy a generous inheritance out of the sale.

Buying a luxury real estate investment all comes down to timing

It’s easy to see why high-end purchases like luxury double storey homes have the potential of being a great investment. Quality products typically retain their value over a greater period than average or poorly made products.

Take a car for example, a European car with a great brand and constructed of quality parts is more likely to achieve a higher resale price down the track than a cheaper made vehicle. Same goes for furniture, homeware goods, jewellery, and clothing.

But timing plays a huge part in whether investing in luxury real estate will pay off. You need to ensure you don’t over-extend yourself so you can hold onto the property during any volatile times. If you’re forced to sell a property during a market down turn, you may suffer a financial loss. Making sure your finances are in check and you’re purchase in the more attractive, established areas will help ensure your luxury real estate investment is a good one.

Filed Under: Uncategorized

Debt Investment Strategies That Could Actually Pay Off

November 25, 2015 By Leave a Comment

calculator-385506_1280If you’ve got the know-how and the courage, and make the right moves, investing in distressed debt can pay off handsomely.  It can actually present you with the best of both worlds — you get consistent cash flow through the repayment of debt, and you also benefit from asset appreciation.

Risks are High

Don’t let anyone tell you otherwise.  The debt is considered distressed, because many people don’t believe it will ever be paid back in full, if at all.  There’s a chance the business repaying the debt could stop paying entirely if the business collapses.

However, as the saying goes: “high risk, high reward”.  And with the risk of complete loss of capital, comes significant potential upside if the bet pays off. But if you don’t have the knowledge, capital, or very long term view to take on distressed debt, perhaps a better approach now would be to learn how to spread bet as this is an accessible and high return way anyone can start investing.

Investing in Turnarounds

If you believe a business is going to turn itself around, get out of the bad situation it’s in, pay off its debt, and go on to thrive, then your return can be very significant. But even if the worse happens and the business ends up in bankruptcy, since debt is given priority over share equity if a bankruptcy does happen, this does help to limit your downside too. So this can mean that in a wide range of circumstances, your return on capital through debt can be better than if you invested in the actual shares of the business.

Lend-to-own Investment

An alternative approach is lend to own.  What this means is that if a company is entirely unable to pay off its debt, by owning the debt, it can give investors the leverage to take over the company. Even then if the company goes into bankruptcy, you’ll still be first in line to get repaid.  Whereas if the company survives, and even thrives, you may end up owning a profitable enterprise at a huge discount.

Plus of course, since you own the debt, by becoming the owner of the company, you don’t have to pay back that debt since the money is yours, so immediately, the financial health of the business improves hundred fold.

Of Course Things Aren’t Quite So Simple

But let’s not pretend this isn’t a hugely competitive market, with high risks, high capital requirements, and considerable complexity.  The process of investing in distressed debt is difficult and expensive.

One reason for this is since debt is of course not publicly traded, it’s not a liquid asset, so buying such debt can be a very difficult and time consuming process. Now as a retail investor, to be fully involved in this market is more than likely out of your reach, but there may be funds you can invest in, and other places to place your capital, where you may see the benefits of distressed debt investing, without having to dive fully into the business itself.

Filed Under: Other

15 Things You Should Buy on Temu to Save Money

May 13, 2024 By Leave a Comment

Buy on TemuTemu has become a popular online marketplace for shoppers seeking great deals on a wide range of products. From everyday necessities to unique finds, Temu offers competitive prices that can lead to significant savings. In this article, we’ll explore 15 items that are especially cost-effective to buy on Temu. This will help you make the most of your shopping budget with smart choices that combine quality and value.

1. Home Decor Items

Home decor can transform any space, but it often comes with a high price tag. On Temu, you can find a variety of affordable home decor items that can instantly enhance the aesthetics of your home. From modern vases and wall art to cozy throws and decorative cushions, these items are available at a fraction of the cost compared to traditional retail stores. Investing in these affordable decor pieces allows you to frequently update your home’s look without committing a substantial financial investment, making it easy to keep up with the latest interior design trends or seasonally refresh your space.

2. Fitness Accessories

Building a home gym or enhancing your fitness routine doesn’t have to be expensive. Temu offers an array of affordable fitness accessories that can help you stay fit without the need for a gym membership. Items like yoga mats, kettlebells, resistance bands, and jump ropes are available at low prices, making it easier to stock your home with the necessary equipment to maintain your health and fitness goals. This accessibility encourages a more consistent and versatile workout regimen, allowing for a customized approach to fitness that fits any lifestyle.

3. Kitchen Gadgets

Kitchen gadgets can simplify cooking processes and inspire creativity in the kitchen. Temu provides a selection of innovative kitchen tools at prices that won’t break the bank. Whether you’re looking for a high-speed blender, an efficient vegetable chopper, or silicone baking molds, these gadgets are offered at competitive prices. By purchasing these items on Temu, home cooks can experiment with new recipes and cooking techniques without making a significant financial commitment, enhancing both the enjoyment and efficiency of time spent in the kitchen.

4. Gardening Supplies

Gardening is a rewarding hobby that can beautify your outdoor space and provide a sense of accomplishment. Temu makes gardening more accessible by offering low-cost supplies, including durable tools, plant pots, seeds, and decorative stakes. This affordability encourages more people to take up gardening, whether they have a sprawling backyard or a small balcony space, promoting a healthier, greener lifestyle without a substantial upfront investment.

5. Pet Products

Pet owners understand that pet products can quickly become a significant expense. Temu helps mitigate these costs by offering a wide range of pet supplies, including beds, toys, grooming tools, and accessories, at prices much lower than those found in pet stores. This affordability when you buy on Temu lets you provide the best for your furry friends without compromising on quality or variety, ensuring pets are well-cared for, happy, and healthy.

6. Seasonal Decorations

Decorating for the holidays can be a fun family activity, but the cost of decorations can add up. Temu offers seasonal decorations at substantial discounts, making it affordable to deck out your home for any occasion, be it Christmas, Halloween, or Easter. This allows families to fully embrace the festive spirit of each season without worrying about the financial strain typically associated with purchasing holiday decor.

7. Children’s Toys

Children outgrow toys quickly, both physically and developmentally. Temu offers a variety of toys that cater to different age groups and interests at reduced prices, making it easier for parents to keep up with their children’s changing preferences. From educational toys that encourage learning to popular action figures and dolls, parents can affordably stock up on toys that entertain and stimulate their children’s development.

8. Fashion Accessories

Fashion accessories can define and complete any outfit. Temu is a fantastic source for affordable fashion accessories like stylish handbags, belts, scarves, and jewelry. These items, often featuring current trends, are available at a fraction of the cost of high-end boutiques. This makes it possible to accessorize fashionably for any occasion without overspending, allowing fashion enthusiasts to experiment with different looks and trends without financial guilt.

9. DIY Tools

DIY projects are satisfying and can add personal touches to your home. Explore this creativity with a range of DIY tools and materials you can buy on Temu at reduced prices. Whether you’re undertaking home repairs or engaging in craft projects, these tools facilitate the process and make DIY activities more accessible to everyone, encouraging a hands-on approach to home improvement and personalization.

10. Office Supplies

Setting up a home office can be an expensive endeavor. Temu helps reduce these costs by offering a wide range of office supplies, from basic stationery like pens and notebooks to more specialized items like organizers and decorative pieces. This makes it possible to create a functional and aesthetically pleasing workspace without the high costs typically associated with office setups, enhancing productivity and comfort in your home office.

11. Beauty Products

Beauty products are essential for many, but they can be costly. Temu provides an assortment of beauty products, including skincare, makeup, and hair care items, at prices well below those of specialty stores. This allows beauty enthusiasts to maintain their beauty routines and try new products without significant financial investment, promoting self-care and personal grooming.

12. Travel Accessories

Traveling can be enhanced by having the right accessories, which can sometimes be an afterthought with significant price tags. Temu offers affordable travel accessories like compact luggage, portable chargers, comfortable travel pillows, and space-saving packing organizers that make traveling more enjoyable and less stressful. These items are priced to allow travelers to invest more in their experiences rather than on the gear needed to facilitate their adventures.

13. Art Supplies

Artistic expression shouldn’t be limited by cost. Temu supports artists by offering art supplies such as canvases, high-quality brushes, paints, and drawing tools at prices that encourage artistic exploration and production. Whether for professional artists or hobbyists, these supplies enable creativity without the financial strain, promoting art as an accessible and fulfilling pursuit.

14. Electronics Accessories

While major electronics might be a significant investment, accessories for these devices do not have to be. Temu provides a variety of electronics accessories like protective cases, screen protectors, chargers, and headphones at a fraction of the cost you would find in electronics stores. This makes maintaining and enhancing your electronic devices more affordable, ensuring your gadgets are protected and fully functional for their lifespan.

15. Novelty Items

Novelty items make great gifts and personal collectibles but often come with high price tags due to their unique nature. Temu offers a range of appealing novelty items at lower prices, making it easy to find something special without overspending. Whether for a gift or personal enjoyment, these items provide fun and whimsy at a cost that doesn’t detract from their value.

Smart Shopping

Shopping on Temu can be a financially smart decision for those looking to extend their budgets without sacrificing quality or variety. By focusing on these 15 types of items to buy on Temu, shoppers can enjoy significant savings and discover products that enhance their lifestyles in meaningful ways. As with any online shopping, it’s important to read product reviews, compare prices, and be informed about the return policies to ensure the best shopping experience. Happy shopping!

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Filed Under: Spending Tagged With: , ,
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