There are a lot of investment opportunities out there, and I’m sure you’re familiar with many of them. We will present you 5 ideas with real potential, to be explored according to your investor profile, your budget and your priorities.
Investment idea 1: rental investment
Among the most popular investments: real estate. Indeed, buying a property to rent can be a way to self-finance the purchase and/or to generate a regular income. The French are very attached to real estate, whether it is for a primary or secondary residence or a rental investment. It is also the first property that comes to mind when we talk about passing on to our children in the form of an inheritance. This type of investment can be financed via a bank loan. Moreover, the rates have never been so low!
For your rental investment to be profitable, choose a property that is easy to rent, in an attractive area. If it’s your first purchase, you can for example choose to buy a studio that you will rent to students. In this case, aim for a student city and a student neighborhood, close to the university for example.
To estimate what you could earn, the ANIL (Agence Nationale pour l’Information sur le Logement) provides an online simulator to estimate the income and taxes of a rental investment. This will give you a precise idea of what you could earn with your investment.
You can also decide to buy a property together, for example with your spouse, a friend or family members. This may allow you to have a larger overall budget or a larger contribution. In this case, it may be wise to create a company to invest in real estate, for example an SCI
Investment idea 2: Invest in startups and companies
Another investment possibility: invest in startups and companies in France and abroad. A way to participate in the economic development, while ensuring income.
How does it work? You give a certain amount of money to a startup which in return gives you a number of shares or a percentage of the company. You become a shareholder of this company and you get a return on your investment in the form of dividends depending on the company’s results.
Are you wondering how to invest in a startup or company? The answer is simple: through crowdfunding or crowdlending platforms. Many startups and small businesses are now using this method to raise funds and launch their projects.
Investment idea 3: Invest in the stock market
When we think of investment, we often think of financial investment and the stock market, one of the classic and oldest ways to make your assets grow! But, before venturing into this field, it is essential to have a solid financial knowledge and to master the functioning – sometimes complex – of the stock market.
Indeed, investing in the stock market is risky, and you can lose everything if you make the wrong choices! A company’s share price can fall very quickly in the event of a crisis or scandal. In 2020, the pandemic led to a drop in values around the world.
Nevertheless, there are “moves” to be made, and a stock market investment can be very profitable provided you make the right choices. You can also invest in ETFs which are less risky and can bring you a good growth on your investment. But this requires work and constant attention to scrutinize the evolutions, anticipate and adjust your portfolio.
Financial investment idea 4: buy cryptocurrencies
Another financial investment idea for 2022: cryptocurrencies. They are attracting a growing number of entrepreneurs as Bitcoin hit a new all-time high of $30,000 in early 2022.
As with the stock market, investing in cryptocurrencies can’t be improvised. Take the time to study the subject and understand the workings before investing your first euros. Because there too, it’s double or nothing and many have lost feathers!
There is no shortage of resources to learn about crypto-currencies. For example, we recommend the cryptocurrency training course “trading, selling and investing” by Frank Houbre, CEO of Business Dynamite and also an expert in dropshipping. We had interviewed him a while ago about his entrepreneurial journey.
Investment Idea 5: Invest in precious objects
The last idea is to acquire precious objects that will increase in value, such as bottles of wine, works of art, antiques or even vintage cars. If you are passionate about one of these areas, this is a good way to combine passion and investment! Investing in gold is also an age-old but still relevant investment. With each financial crisis such as the current one, gold remains a refuge value that has not lost its aura.
For valuable objects, beware, scams flourish and it is better to take the time to get informed and to check the references of the actors offering this type of investment. In wine, for example, players approved by the AMF (Autorité des Marchés Financiers) include Cavissima and U’Wine.
And, as with any investment, a long-term approach is to be favored. We repeat: do not expect to become rich overnight. There are no miracle solutions!