Who can still believe that one becomes rich by saving all his savings on a booklet A and life insurance? Today, most traditional long-term investments have seen their interest rates drop dramatically. Even the livret A, the most popular savings, no longer follows the course of inflation. This means that in addition to not making money, you lose some…
To seriously hope to make capital gains, you have to go off the beaten track. In this article, we give you three different ways: overseas real estate, virtual currencies and equity investments.
Investing in real estate abroad: why?
In France, you still have a certain number of renters who live thanks to dozens of apartments that they rent on the territory. Unfortunately for them, profitability is declining.
There is still a strong demand for housing, but rents are often capped and the taxation of landlords is increasing more and more.
Worse, French law is not balanced, and very often, the tenant ends up with unbalanced rights. If the respect of the winter truce is understandable (no eviction in winter), the difficulties to get rid of a tenant who does not pay or a squatter is an aberration.
By exporting yourself, you will no longer have its constraints. Even better, you benefit from higher growth than in France. Even in the United States, you can benefit from a more advantageous framework. According to Orlando Immobilier, investing in Florida can yield 5 to 6% rental profitability.
Virtual currencies: a roller coaster that pays!
You cannot live in 2018 without having heard of Bitcoin. Newspapers like to present this virtual currency without necessarily really understanding how it works or why it fluctuates so much.
If a lot of criticism can be leveled against virtual currencies, they are nonetheless one of the rare sectors where you can see your investment multiply by 20 in a few months.
You must know the subject and not always go with the wind. These are tips similar to investing in the stock market. Do not hesitate to look at the small coins which go up. The upfront bet is minimal, and so are the risks, while the rewards can potentially be huge.
Equity participation in start-ups
This investment requires a high initial outlay and real business knowledge. However, when you are an expert in the field, the benefits are considerable. People like Tim Ferriss have made millions helping good entrepreneurs.
France is not to be outdone and groups of “Business Angels” are springing up everywhere, while the media are focusing on icons like Xavier Niel and his investment fund Kima.
Their job is to listen to entrepreneurs and study their projects. If they see good prospects in the project, they invest financially by taking shares in it. We let you imagine the fortunes made by those who were the first contributors of capital to companies such as Facebook, Uber, AirBnb or even Duolingo, Linkedin, etc.
Some investors also like to have an advisory role. They take advantage of their experience in marketing, in terms of finance to guide young entrepreneurs and allow them to have a valuable outside opinion.
Each of these investments involves different levels of risk, but also different returns on investments. Anyone wishing to earn real money can find opportunities adapted to their situation.