The COVID-19 pandemic, or any crisis for that matter, is a tricky period to even entertain the idea of investing one’s hard-earned money on anything. It is perhaps the uncertainty of such a situation that casts doubt in the minds of potential investors and entrepreneurs: not knowing when the cash would go dry or if the investment would bring in profits if any. For many, it’s a question of whether to make an investment or to save up instead to be safe.
However, uncertain as such a period might be, it should not hinder a determined person to bet on some potentially life-changing investments. As life normally involves certain risks, so should you take the plunge and put your money to good use.
Here are six wise money investments that you can make right now:
1. Get a home.
Whether it’s your first one or you’re just getting another to serve as your vacation house (or perhaps a rental or Airbnb), investing in a home is a great way to spend your money. You can make things financially easy on your end by connecting with a licensed broker to negotiate with a financial institution that offers the best rates for mortgages. This way, you won’t have to spend a big chunk of your budget to pay off your monthly dues.
2. Invest in the stock market.
If you’re fortunate to know a great deal about the intricacies of the stock market, then you might want to allocate a portion of your savings to buy some stocks. Data show that during the first months of the pandemic, gun sales saw a significant spike: some 2 million firearms were sold across the U.S. during the period.
Firearms stocks, therefore, are a great way to start. You can invest in other stocks, particularly those belonging to companies that remained steady throughout the pandemic. Just be sure to do some research first about these stock market options and the stock market in general before making any investment.
3. Consider cryptocurrency investment.
Already more than a decade old, cryptocurrency has surpassed initial suspicions as to its legitimacy as a financial investment. Ethereum and Bitcoin (BTC) — block-chain-based digital assets and cryptocurrencies — proved exceptionally resilient during the pandemic, particularly bitcoin. Bitcoin initially dipped last March 2020 to less than $4,000 before rebounding to $9,000 per BTC two months after. Overall, bitcoin performed better than the rest of the stock market throughout the pandemic, which makes it a wise investment for your money.
4. Start a small business.
If you want to keep yourself busy and productive during the pandemic, one great way to do that is to kickstart a small business. You can invest in a takeout food stall, a nursery/home gardening supply, and an online store — which are just some of the business ventures that saw a great return on investment (ROI) during the COVID-19 pandemic. Knowing how easy it is to begin these businesses and how small is the seed fund needed to get the ball rolling, you really should consider opening a small business soon.
5.Add precious metals to your IRA/401(k).
Throughout the pandemic, gold has maintained its value exceptionally well. As of July 2020, gold’s year-to-date value has risen by more than 13 percent, which is quite impressive given how volatile the stock market has been. Aside from gold, you can also consider silver and other precious metals to include in your 401(k) or IRA holdings. One bright spot to convince you: data show that prices of precious metals tend to remain stable and even outperform the stock market. You may connect with a stockbroker to guide you through the process or do your research to save money.
6. Renovate or make improvements to your home.
The ongoing pandemic did not slow the home renovation industry, contrary to what one might expect during such a volatile situation. It only saw a tremendous increase in activities as homeowners tried doing some retrofitting to their properties to adapt to the so-called ‘new normal.’
Some property owners transformed a portion of their home into an office where they can work remotely while others converted their basements and attics into a playroom or entertainment area for the kids or the entire family. If you have the budget to spare, then seriously consider doing some renovations (or repair) to make your home more livable amid the pandemic.
Your hard-earned money should be sent wisely down to the last dollar. By considering these six investment options, you can do just that. Make every dollar count, particularly during these trying times.