The term “investing” may evoke pictures of the frenetic or you believe that it is something for those who are wealthier, or older than you. But the reality could not go beyond that.
When you choose to perform in the stock market, it would be the best way to grow your money when done responsibly and most kinds of investments are available to almost anyone regardless of age, income or career. However, at this specific time such variables will affect which assets are ideal for you.
For example, someone with a lot of‘fund’ and who is near retirement would probably have a completely different investment strategy than someone who is just beginning his job without spending. We are not saying that either of these persons should avoid investing. But only the best assets for their particular circumstances should be chosen.
Now, people in South Africa can make a good money in the stock market by choosing the jse all share.
Where you should spend your money as an investor?
High return savings accounts
Online savings and cash management accounts deliver higher return rates than the traditional savings or checking account. Cash management accounts are like hybrid savings accounts: they can pay interest rates similar to ‘savingaccounts’ but are generally offered by corporate brokers and can come with debit cards or checks both.
Funds for the money market
In the stock market industry, people know that money market mutual funds are an investment product. You should not mix it up with cash market accounts, similar to savings accounts with bank deposits.
Your money will buy you large collection of high-quality, short-term government, bank or company debt when you invest in a money market fund.
According to data, the ‘CD’ is a federally insured savings account which provides for a certain period of time a fixed interest rate.
Know that a CD is for money that you know you will need in the future on a fixed date like a home down payment or your kid’s college education.
A government bond is a loan you give to a government entity which means the federal or municipal government will be paying investor interest over a certain period. It goes on typically for one to 30 years.
Due to this steady flow of payments, bonds are known as a secure fixed income. Government bonds are practically risk-free investment because they are supported by all the government’s full faith and credit.
A mutual fund pools investorshould buy stocks, bonds or other assets. Mutual funds offer investors a cheap way to diversify – spread their money over multiple investments to protect themselves from the losses of a single investment.
Corporate bonds work as government bonds as well. by investing on it, only you make a loan to a company, not to a government. However, the government does not usually support these typesof loans.