How To Make a Fortune in Investments? by:Lil Waldner
People work and save a part of their salaries. They try to make more money out of their savings. Some of them try to achieve more: They want make a fortune and change their life. How can you make a fortune out of your money?
With a New Business Idea
The most promising way is to develop a new business idea. Young scientists or professionals detect a problem. They do a lot of research in order to find a solution. They develop a new product or service. If they are lucky, they meet a demand on the market. They bring their innovation to the market. This is a long way that can last years. Entrepreneurs as innovators need all their savings in order to realize their business idea. They have to spend hundreds of thousands of Dollars from their savings. They even need to acquire more investment funds from other people.
By Funding of a New Business Idea
Not everyone is able to develop something new that is promising for making a fortune. They can finance others, if they feel confident in their marketing strategy and their dedication to work. Some of this people are acquinted with pioneering entrepreneurs. They act as so called "family, friends, fools" network. They invest in the hope to get their money back. They can benefit great, if they are lucky.
As Professional Venture Capitalists
Some people can use their assets in order to work as professional venture capitalists. Some of them have experience in building up of a new business. They act as business angels and provide young entrepreneurs with both: investment capital as well as advice. They usually maintain a good network to universities, research centres and startup contact centres. They try to choose among the best ventures. A lot of skills and the ability to risk own funds are needed to do this job.
By Trading from Home
People with experience in the financial markets can trade on the stock and options markets from home. There are a lot of opportunities and software programs for day trading on stock markets and for investments in futures and options. This is a highly risky business.
For People Who Prefer Resting on a Safe Pillow
Most of the people want to sleep well on a safe pillow. They have family duties and they may not risk their savings. They are well off by investing in their own home as real estate. They further invest some remaining savings in a basket of bonds and shares of high quality and a small portion in private equity funds. They do not get rich, but they can prepare for their old days or needed extra expenses.
You May Draw a Comparison:
It's possible to multiply the invested capital ten or hundred times or more as business innovator, business angel or venture capitalist. Otherwise all the funds can be lost in a venture. A professional trader who invests from his computer from home on the financial markets can make or lose a lot of money. This people do this kind of job usually only during a few years, because it is highly hectic. They withdraw from trading because they either have lost all their money or because they are saturated. The cautious investor who prefers a quiet life achieves a yearly performance of 3% to 6% a year for bonds, of 5 % to 10% for shares. If a young person of 25 years reinvests the yearly revenues of a start capital of $10,000, she or he can accumulate a fortune of $43,219 in the age of 55 just with bonds of 5% interest yearly.
About the author
Lil Waldner is a business economist. She is experienced in project management and marketing. She has worked as an editor for newspapers and she has written booklets and essays on economic and public issues. Visit the web site: http://www.makemoneytip.com. How to use Mind Map Tool for making Great Presentations by:Dr V J Mariaraj Do You Have "Grass Hopper" Mind? Mind Mapping Helps You Capture Ideas As Fast As You Can Think by:Dr V J Mariaraj How Problem Solving is as Simple as Jigsaw Puzzle with Mind Mapping by:Dr V J Mariaraj Is Your Brain On Hot Air Working On Project Planning? Keep Cool With Mind Mapping by:Dr V J Mariaraj Do You Have The Leadership Trait In You To Pick The Right Player For The Right Job? Learn To Be an Ace with Mind Mapping by:Dr V J Mariaraj If Boeing, Oracle, EDS And Other High Profile Companies Have Drawn Great Benefits from Mind Mapping, What's Stopping You? by:Dr V J Mariaraj Multiple Income Stream - Do You Need That? by:Cheriyan Thankachen A Couple of Tips in Getting a Better Deal onÂ… by:Robert Crawford III Managing Your Reputation by:Karen Hinds Sales Myth #14 - Enthusiasm is the Key to a Successful Sales Pitch by:Ike Krieger Option ARM Mortgages - How they Work and Pros and Cons by:Grant Eckert Did You Know That The Problem Of Unclaimed Cash Was A Multi Billion Dollar Problem? by:Nicole Anderson What is ITIL (and what it's not!) by:Robin Yearsley