What Are The 4 Main Types Of Investments?

Young investors frequently think that an investor is someone who has a lot of money, like Warren Buffett of Berkshire Hathaway (NYSE: BRK.B) or Jeff Bezos of Amazon (NASDAQ: AMZN).

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Investing in publicly traded companies like Apple (NASDAQ: AAPL), Tesla (NASDAQ: TSLA), Virgin Galactic (NYSE: SPCE), or any other is not the only type of investing.

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Long-term investments in stocks or real estate that will grow. Investments that consistently produce income, like cash and bonds, are considered defensive.

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Cash Some claim that there is a "war on currency" underway, with organizations like Block (NYSE: SQ) and PayPal (NASDAQ: PYPL) aiming to completely replace the utility of cash

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Fixed Interest: The one that investors may be most familiar with is the "bond" investment. In essence, the government has borrowed money from willing investors

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Property : Property is seen as an extremely risky investment for growth. This is due to the fact that the housing market's price can drastically increase or decrease over time

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In addition to investing indirectly through a real estate investment trust, one can do so directly by purchasing real estate (REIT).

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REITs typically focus on a single type of real estate, such as office buildings, retail, residential, or healthcare

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Shares: Finally, we come to the investment strategy we are all familiar with: shares. You can own a piece of either Microsoft (NASDAQ: MSFT), a reliable and stable company

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Shares are regarded as growth investments since they can, over the long run, assist in increasing the value of your initial investment

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