In 2022, you’ve decided to invest. Maybe you’ve read the reference book Richer, poorer, or maybe you’ve just decided to take your future into your own hands. But the question is always the same: what kind of investment should you make?

To help you see more clearly and make the best choices, we offer you 5 investment ideas. We can’t advise you to choose one type of investment over another. The best investment depends on several parameters such as your budget, your objectives and the risk you are willing to take. We also remind you that an investment may involve a certain risk of losing your capital. This is why we advise you to get informed and trained on the type of investment you choose before you start, and to invest small amounts at first.

Whether you’re looking for a small investment that pays off or want to make a larger investment, such as a rental property, we’ll explain what you need to know and what you need to consider before taking the plunge.

But, before we get into all that, let’s start at the beginning.

First of all, what is an investment? It is very simple: it is an expense incurred to increase one’s wealth, often over the medium or long term. This benefit is called ROI or return on investment.

An investment is not the same thing as savings or an investment, which can earn interest for example. We don’t really talk about life insurance investment, but rather about investing in life insurance. The investment goes beyond that, with the idea of getting more money in the end than you put in. This can be a way to achieve financial independence.

But be careful, just because you invest a little money doesn’t mean you’ll get rich. Indeed, one of the main principles of investing is that only risk really pays off, and that means you can lose everything. This is called “high risk, high reward” (or sometimes “high risk, high return”). This type of investment can be like a poker game, so you have to be prepared to lose your entire stake.

Less risky investments tend to be less lucrative, but you are sure not to lose money. It’s a safer way to build wealth, step by step.

It’s up to you to see how much risk you are willing to accept. There are questionnaires to determine your risk profile, like this self-assessment test.

There are generally three types of investors:

The so-called defensive, conservative or cautious investors: they do not wish to take risks and prefer security;
Balanced, moderate or neutral investors: they are willing to take a certain amount of risk in order to obtain gains;
Dynamic, aggressive or speculative investors: they are looking for high returns and are willing to take a lot of risk.

There is no good or bad investor profile, it depends on your personality, your personal situation and your ambitions. The important thing is to know yourself well, in order to choose suitable investments and avoid unpleasant surprises.