Investments

Investments. What are they? What do they look like? How do you get them? What makes them valuable? What makes them worth more, or less?

We often get questions about investments, but it’s important to understand what an investment really is, because it’s not as clear-cut as you might think.

What’s the first thing that comes to mind when you think ‘investment’?

Stocks? Cash? Gold? Property? All of the above?

The major asset classes that people think of when they think of are cash, fixed interest, stocks and property. And that does cover a wide range of investments.

They are all things you can put your money into with the hope that, one day, they’ll be worth more. That concept is the core of an investment. You invest your money into something and, one day in the future, you can get a lot more back as your investment goes up in value.

If you think about that concept, you realise that investments can really be anything. You can invest in wine, classic cars, antiques, art; you can even invest in a new kind of investment: cryptocurrencies. These are all forms of investments.

The best investments are the ones you don't know about

While the ‘traditional’ forms of investments are the most obvious, it’s also important to understand they’re not the only ones. And that perhaps your own education is an investment equally important as the stocks you buy.

At Money Morning, we aim to help educate you about all kinds of investments, from stocks and property, to precious metals and cryptocurrencies. The more you know, and the more you read and invest in your education, the better you’ll be as an investor. And that’s an investment that can pay off for the rest of your life.

We have a special page for our best investment picks, full of ideas and free reports to help you along the way, go check them out.

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The Coronavirus Portfolio

Fair warning: Today’s piece is long, but we think the current outbreak warrants an in-depth look at investing in this new environment. Even with the number of cases steadily rising, markets looked remarkably bullish over the last three weeks of trading. And then all of this changed.

Why the Pros Are Paying 220% Crypto Premium

Big investors are prepared to pay so far over the odds so that they can avoid a lot of ‘crypto headaches’ that come from owning cryptocurrency directly. For them even with the inflated costs, many have deemed it an acceptable risk.

An Emerging Slowdown in Global Trade…Trade Carefully

The BDIY is down a whopping 80% from its peak in September last year and is now at a four-year low. A fall this steep suggests that the shipping market is doing quite badly. The fear is that this index is reflecting an emerging slowdown in global trade.

Tesla Stock Proves It Pays to be a Contrarian

For anyone who has been in the market for a long time, Tesla’s tale won’t surprise them. This is just the latest iteration of a story many have seen before. The only way to truly win when it comes to a stock like Tesla, is to block out any emotions. One way or the other.
Money Morning Australia