Investing your money doesn’t have to be something you do alone. By investing money with the support of other people - whether it be professional advice, broker services or groups investing - you could guarantee a better return. Below are a few tips on how to invest with the help of other people.
Invest with family and friends
The more money you’re able to invest, the larger the return you’re able to make. This is why more people are choosing to invest with family and friends.
This could include investing in a business together, investing in property together or opening up a joint trading account. You can each contribute a share and each benefit from a slice of the profits.
Of course, you need to make sure that you invest with people you trust. This is why you should only stick to close family members and close long-term friends.
Invest with strangers
There are many forms of group investing that you can partake in with strangers.
Investment clubs are a popular example. This typically involves pooling together money with multiple investors and then voting on where to invest this money. In other cases, a professional investor or group of professionals may manage the account and choose where to invest - this is often known as a mutual fund.
You can also invest in property with strangers - property crowdfunding involves multiple people investing money into a single property and then sharing the return. Buying property outright can be very expensive, however this option enables multiple people to invest small slices, making it a more affordable way to invest in property.
Seek out professional investment advice
It’s often worth seeking out investment advice - especially if you don’t have much investment experience. This can help you to ensure that you’re investing your money in the right place.
There are various financial advisors out there that specialize in stocks and crypto advice. You can even find free advice (although it’s usually a good idea to always look into the reputation of that advisor before taking their word).
When it comes to real estate investment, there are professional advisors such as these ones at Tri-Merit that can help you with aspects such as tax credit and cost segregation. You can also get legal advice when it comes to handling tenant issues and setting up contracts.
Know when to hire a broker
A broker acts as an intermediary between an investor and the security that they invest in. Some people like to hire a broker such as a stockbroker to do all the investing for them - you pretty much give them the money and let them choose where to invest it. In return, the broker charges a fee for their service. Broker fees can vary depending on your investment goals and how much money you have to invest.
There may be other types of intermediary professionals that you want to hire when investing. For example, some people like to hire a property manager when investing in property. As with hiring a broker, this can take a lot of the hassle out, but you’ll have to pay extra fees.
CANDY TAI is a wife to David and mom of 5 with a degree in Communications. She's a native Texan (Hook 'Em Horns!) who's been making her home in the Kansas City metro area for nearly 15 years. She loves being able to shuffle her kids from their various sports activities, piano lessons, and school activities. She enjoys fashion, beauty, reality TV, and moviegoing.