Arvin Ash

What is the best Investment? Where to Invest Money? (2019x14)

Udgivelsesdato: Mar 22, 2019

What is the absolute best place to invest your money for the high returns? To answer this question, you first have to realize two things. First no one can predict the future. I can only tell you what investment performed the best in the past, and based on that information, you may be able to conclude that this same investment will also perform the best in the future. The other thing you have to realize is that high returns also come with high risk, meaning your principle could fluctuate in value quite a bit. There is no such thing as high returns without high risk. If anyone tries to sell you something that has a high return with low or no risk – that is a sure sign that he is ripping you off and is lying to your face. And you should run. So because of the fluctuation in value, or higher risk, you should only make a high return investment if you have a long term horizon, meaning you don’t need to touch the money for at least 10 years. If you need the money for an expected expense before that time, don’t put it in this kind of investment So, as long as you understand these two things, here is the absolute highest return investment over the past. This should be no surprise – Stocks have had the highest returns over the past 50, 75, and 90 years versus any other type of investment. In fact, if you invested $10,000 in the US stock market just 50 years ago in 1969, you would have over $1,000,000 today. In fact over the past 100 years, the stock market has seen an average return of about 7% per year. At this rate, the value of your investment doubles every 10 years. There is no good reason to think this won’t continue. Now what you also have to realize is that although this is a spectacular increase, it also comes with risk. This means that some years are great while other years are not so great. In the past 80 years, for example, the stock market had a positive return in 50 of those years, and a negative return in about 30 of those years.