Safe Investments for 2020

As the economy recovers in the coming years, land is going to be costlier, resulting in escalation of realty prices giving you a big profit. If you have savings and you can afford, it is ideal to buy a property when economy is slow, and market value of the land is low because as the economy comes back on track, real estate prices are bound to shoot up.

One can allocate a specific amount every month for this, and the rest is taken care by the fund managers. Mutual funds are collective funds, collected from a pool of investors. The collected funds are used for buying stocks, bonds, and other tools.

So, with the help of mutual funds, you can take advantage of the gains in the stock markets without taking any risk personally. Yes, since this is a collective investment managed by experts, you're guarded against the risks of market slowdown or sudden economic crisis.

There are mutual funds available from reputed companies which have a good track record of making money for investors. You can choose one of these funds which has a diversified portfolio. Investing in mutual funds can be very profitable if you have a longer time horizon.

By issuing bonds, corporations promise fixed annual returns to investors for the money raised from them. Ideally, bonds issued by government companies with significant assets, good turnover and high profitability are safe for retail investors for long term investments.

Saving schemes floated by banks and finance institutions can be profitable if you have time to wait for your investments to mature. They mostly offer fixed rate of return which can help you beat the rising cost of living. Beginners must try to invest in saving schemes of reputed banks, even if it is initially, a small one.

This is because it helps in preparing for a secured financial future. Investments of small amounts contribute significantly in wealth creation, much to our surprise. Bank fixed deposits which usually pay higher interest to customers can also be one of the best investments.

With the Arab Spring in its full swing, and the rising fears of slow global economic growth, the sentiments in the investment world seem to be a little gloomy.

In such uncertainty, gold can be rated among the best investments. Recently, gold prices have been rising at a steady pace giving investors an opportunity to make a good fortune. Moreover, the facility to buy gold in an electronic form and sell it whenever you feel like have made gold trading easier for investors as they do not have to own gold physically.

From this list, we ought to keep the stock markets away because of the possibility of high volatility and difficulty in predicting the pace of economic growth. Though these investments are safer, you must be aware of market situation and changing economic times so you can exit from non-performing investments and invest the same amount somewhere else.

DISCLAIMER: This information is just for reference purposes and does not recommend any investments.