How to Invest 100k to make 1 Million
To make 1 million dollars from 100k, a person must have 100k at first place. Whether such amount of money comes from a lottery, by doing saving or whether from retirement money. It completely does not matter. But one should always keep this in mind that mere saving will not help one to grow money. The word invest is emphasized here because it helps a person to make millions. Moreover, people wonder how to invest 100k to make 1 million? Well, they should consider such question while dreaming of making fortunes. In addition, they also consider things like where to invest? Would the place where the money being invested is worth investing or not?
For beginners, it is necessary for them to think over and over again while investing such amount of money. Such thinking must acquire thorough research, to know the history of the place where the money is being invested. Turning $ 100k into $ 1 million through investments shall definitely take time. But if one knows the authentic place to investor knows how to invest 100k to make 1 million then it might not take much time. Therefore, some of the investment places are mentioned below. Here one can get the idea of investment and be extracting a good return from it.
Where to Invest 100k Dollars to Make 1 Million Dollars
There are several places where one can invest and make one million through investing 100k dollars. All a person has to do is invest money in the right place. Below there are several places where one can invest. However, in stocks, one can make 8% or more whereas in other places the return is less than 8%.
- Mutual Funds
- Stock Markets
- Saving Bonds
- Real Estate
- Start your own business
Stock Markets: How to Invest 100k to make 1 Million
Stock markets can make one rich and poor in no time, because of the unpredictable consequences being involved. Keeping such risk and consequences in mind a person must carefully buy or sell the stocks. Though it depends on luck but not completely, moreover, some logical aspects are involved. Through these logical aspects, the investor can estimate the risk being imposed in the future time. In addition, the person investing must invest according to his age and the risk he/she can bear.
Two of the best stock markets which are being enlisted as the best in 2018 are below.
Customers Bancorp (CUBI)
This stock market is not much different from Facebook. Moreover, it has taken initiative for a spin-off of Bank Mobile. In addition is it catering digital banking for college students.
Store Capital Corp (STOR)
Even Berkshire, the famous holding company has made an investment of 9.8 percent stake in store capital. It is a real estate investment trust which focuses on buying and managing the single-tenant operational real estate.
Mutual Funds: How to Invest 100k to make 1 Million
Before determining how to invest 100k to make 1 million one should know about mutual funds. Mutual funds are like stock market investments but done mutually. Through this, the risk is being distributed and the return is double than the investment made individually. Mutual funds for stock investments have a high potential for good returns. If one is wondering how to invest 100k to make 1 million then mutual funds are the answer. They help to make investments in riskiest assets with great potential of providing a high yield.
However, stock funds are not the only type of mutual funds. Bond funds can also be mounted as the safest types of funds providing moderate annual income. Another type can be junk bonds which have generous coupon payments.
Saving bonds are the safest investment to make million. Moreover, this investment being made can stay for the longer term with the good return. If a person is wondering how to invest 100k to make 1 million, investing in savings bonds can be a good option. Though they take time to make fortunes the risk of loss is quite low. There are two types of savings bonds in the US
Series EE Bonds
These types of bonds take almost 20 years to get mature. Therefore, it takes a lot of time but the return is guaranteed. Moreover, they have fixed rate of interest.
Series I Bonds
As compared to the series EE bond, the series I bonds have a variable rate of interest. Due to inflation affecting the bonds the return can vary as well.
People think that investing in real estate is quite limited. Well, that is not the case, though it takes time to make fortunes from real estate it has several strategies to do so. People who wonder how to invest 100k to make 1 million must consider investing in real estate. Having real estate assets after retirement can be quite helpful, moreover, one should manage the matter with due care. As the rates of property increase or decrease in not time, the decisions should be made accordingly and carefully.
Following are the essentials which should be kept in mind by the investor.
- The fluctuation in the rate of the property.
- Rental income being collected from the tenants of the property on lease.
- Managing the profit generated from the business which deals with real estate properties.
Starting Your Own Business
There are several businesses which can help one to make millions. All a person has to do is to have patience and invest their time in management as well. Such kinds of businesses acquire hard work and time to make fortunes. Some of the businesses through which one can make million are mentioned below.
- Education Training services
- Healthcare consultancy
Many people want to know how to invest 100k to make 1 million. They want to grow their money rather making it rot in saving accounts. Hence this can only be done by investing money in worthy places with good returns. However, one can find several places to invest but most of them result in a waste of time and money as well. Moreover, for beginners, it is essential for them to get guidance regarding investment from an authentic source.
Some of the authentic sources can be seen written above. These sources shall help one to predict the right place to invest and the risk, if any, to bear accordingly. For more related articles please visit our website Onlineinvestment.com