If you have money, what would you invest?

@scheng1 (24650)
Singapore
November 15, 2010 1:47am CST
If you have money, what would you invest? Some popular investment options are: 1. stock market investment (would you invest in the stock market of your country or elsewhere? 2. real estate investment (buy to rent or buy for capital appreciation and renting out in the meanwhile) 3. buy gold 4. buy a few websites for affiliate marketing 5. buy a small business 6. buy government bonds 7. buy more insurance policies for self and family 8. migrate to other country so that your children can gain entry into the colleges there 9. buy a plantation Those are the popular methods. Which would you choose? Is there any other form of investment that is better?
1 person likes this
27 responses
• Philippines
15 Nov 10
Hi scheng1! If I got lucky with money, I would definitely invest it in a business that is earning. Here in our country, franchising a business is very popular so I would go for that...
@OhPenYin (289)
• United States
16 Nov 10
I agree with frenzylady. I would probably do a franchise as well. Especially a Chick-fil-a!!!
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Frenzylady and OhPenYin, both of you are born businesswomen. I have never thought of operating a franchise. I guess I am not a business minded person. I would have invested in stock market, choosing those companies that I have worked before, or those companies that I know very well. I rather leave the business management to the business owners. Never cross my mind to run a business myself.
@Canellita (12029)
• United States
30 Nov 10
Is this a sudden lump some of money such as a lottery winning or money that has been saved gradually over years?
@scheng1 (24650)
• Singapore
30 Nov 10
Hi Canellita, I did not think about this when I started this discussion. What do you think about this matter? Does the source of money influence your investment choice? I do not really think so deeply in this matter. Since I have more knowledge in stock market, I guess I will invest in stock market regardless the source of money.
@scheng1 (24650)
• Singapore
1 Dec 10
Hi Canellita, I just hope that I have a windfall! Hopefully the amount of money is more than enough to pay for the debts, including the car and the house. Any excess money definitely needs to go into investments. If not, the money would be gone very soon.
@Canellita (12029)
• United States
30 Nov 10
Yes, Scheng, it does. If you do not have money for investing and you suddenly have a windfall you will want to think of the best things to do with the money after paying bills and any debts that may exist. If a working person has small savings and has not made any investments they might decide to start to invest. How and when someone chooses to invest depends on many things including their circumstances.
@yugasini (12836)
• Anantapur, India
15 Nov 10
hi scheng, all are popular investments,now a days everything is growing except my income,just like that if people have money,they can do any thing,can invest in gold,shares,commoditis,mutual funds,forex markets,but i does not invested any thing till now,i does not have enough money to invest,have a nice day
@yugasini (12836)
• Anantapur, India
16 Nov 10
hi scheng, thanks for the response,i am not talented person like to earn more money,i am an average or below average person,still i could not understand some discussions in mylot and some sites also,but i am trying and doing,once i know about the sites and then i am going with them,regarding saving,i am saving what ever is possible to me,have a nice day
@scheng1 (24650)
• Singapore
17 Nov 10
Hi Yugasini, we are both not native speakers. It is good enough to master our own language, and another language. I believe many native speakers do not even know a second language. Even if they study another language, I doubt they are good enough to read, and write an article in the second language. I think mylot is really a good place for us to earn some pocket money. It can never be good enough for us to quit our job. At the rate of ten dollars per month, we would have $120 every year.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Yugasini, it takes time to save up enough money for investment. I think when you have money, you can start small. Maybe buy an insurance policy, then get a small house. Sometimes when you get lucky, you become rich suddenly. That is why it is never too late to start thinking about investment. When you have the money, you know what to do.
@sammy14 (834)
• Philippines
17 Nov 10
Hi scheng i agree with you in some ways... but in a stock market when there is a bull run you don't have to be much educated in stock market... only the basic ions and outs... of course research is needed.. experience is the best teacher.. there is a saying that you win some .. you lose some.. you cannot win all the time! Guts and common sense is also needed.. Investment houses as well as big banks with all the knowledge they have regarding investment and all the staff and COOs that studied in no. 1 schools of business and experience they have went down during the 2007-2008 world financial crisis! I would still prefer stock market over the other available investment opportunities because the market is still considered priced at a bargain... just do not put your money in one basket.. diversify... buy different stocks..
@sammy14 (834)
• Philippines
18 Nov 10
Thanks a lot scheng.. this is what is good here in mylot... mylotters are knowledgeable in all aspects.. you don't have to do deep research just ask myloter and alas.. all the information you need is all in your hands!
@scheng1 (24650)
• Singapore
18 Nov 10
Hi Sammy, dont be lazy. It takes me a few years of studying to gain enough confidence and knowledge about stock market. I read books, such as the popular Rich Dad Poor Dad series, and books on Warren Buffet and other great investors. Additionally I study corporate finance and other accounting and finance subjects in college, plus a post graduate course about investment. Even though most of the topics dealt with formulas, the knowledge and the reasoning behind the formulas are important. Warren Buffet was a finance student too. That is why he is so knowledgeable, and he can see the shortcoming of many theories. I think it is worth your time to read more and learn more, after all you need your money to work harder for you.
@scheng1 (24650)
• Singapore
18 Nov 10
Hi Sammy, when it comes to stock market investment, the difficulty is in selecting a few great companies. Even in a bull run, not all the companies perform equally well. When the stock market is having a bull run, stocks of those companies in cyclical business, such as airlines, banking, and industries relying on tourism are in demand, and the share price is very high. That is the time when defensive stocks are relatively low priced. Hardly anyone wants to invest in defensive stocks when other companies are making better profits and giving better dividend. In a bear market, defensive stocks are comparatively high priced. They still make profits when the banks are having liquidity problems. Experience in stock market is not always the best teacher, especially our personal experience, since each crisis is triggered by different factor. Right now the China government is the one with the power to send the stock markets worldwide up or down. The investors worldwide react to the announcement of the China government. Diversification in stock market works to a certain extent, but not too diversified, otherwise we might as well buy the index fund.
@babyEj (1522)
• Philippines
2 Dec 10
In my case , I would like to invest land. Your money will be not in waste if you will buy a real state, agricultural land or vacant lot. You can do a lot about that piece of land. From that you may earn money without someone holding your time.
@scheng1 (24650)
• Singapore
2 Dec 10
Hi BabyEj, it never crosses my mind to buy land. Probably due to the fact that nobody buys land in Singapore. Parcel of land was purchased by developers and we bought the houses or apartment blocks after the completion work. As for industrial land, it is very rare for a company to own the land. I guess for countries with farming focus, it makes sense to buy land.
@rosegardens (3034)
• United States
15 Nov 10
I was contemplating what to do if I won the free online contest. There are a few contests and each one has a different amount. One is five grand a week for life and if I won that, I wouldn't need to invest but I would buy up a lot of property in my town, fix the homes and offer a rent to buy. That way I can screen the people who come in and find some good homeowners to live here. Give money to friends and family and all the things I mention below, only I could do more in a shorter amount of time and not worry about investments, just spending. If I won the million dollar one, then that I would have to invest to have money throughout the rest of my life. I would invest half in stocks, bonds, etc. Give away about a quarter of it to friends, family and church. I would not do anything more for about a year, so the interest can gain on it. Just take what I need to get by. After the interest accumulates for a year or so, then I would purchase some homes in my town. I would provide a crime lab for my police department when the interest on my investments accumulates to one and a half times the cost of the crime lab. That way, I will not run out of money and can use the money to do more things for my city and the church. I would create a scholarship program for kids to go to college, and some adults as well. For myself, I would get a car because I desperately need a better one, and fix my home to be more energy efficient. There is no sense in paying good money to the utility companies because they are so expensive anyway. I would also purchase a good health insurance policy and fix up things that need fixing around the house. I would not spend a lot on myself, just to get things done that need to be done and look nicer than they would if I didn't win the million dollars.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Rosegardens, the part about crime lab for the police department is very interesting. The police here have everything, and they earn very high salary. I think it is important that government spends more money for law enforcement unit. After all, these people risk their lives every day. I think with so many things you want to do, even a million dollars is not enough. Hope you can win something in the range of ten million dollars.
@scheng1 (24650)
• Singapore
17 Nov 10
Hi Rosegardens, I cannot imagine how a police department can function without a fingerprint lab. After all, fingerprint analysis is one of the lowest costs method. We are not even talking about analyzing the eye (the optic something which is unique to each other) or ear or DNA or something else. I think when the police in your town gets a fingerprint lab, they need to hire a few lab assistants to do the analysis. Over here, we have a national bank of fingerprints of all citizens, permanent residents and foreign workers. I am not joking about it. Each new foreign worker has to go down to the Ministry of Manpower for fingerprinting before they can get the work permit. Likewise with all citizens, fingerprinting is required for us to get the identity card. Over here, our police station looks very grand. Once someone donates two large plasma TV to the newly opened branch office. The lobby is as grand as a five stars hotel lobby. The police puts up the two plasma TV there for visitors to kill them. In the end, so many people made noise about the extravagance of the public sector. I believe the matter even reached the parliament session. Those two plasma TV sets were taken off, hidden somewhere in the police station for the enjoyment of those officers.
@sammy14 (834)
• Philippines
17 Nov 10
Hi scheng I was reading your post and you have a good grasp about investment opportunities especially on stock market.. I know you made millions in stock market.. I hope that you went out of the market before the onset of the financial crisis... But I know you are making a killing of the stock market right now... Can you give me some insights about it..
@scheng1 (24650)
• Singapore
18 Nov 10
Hi Sammy, please refer to my response to you above. Actually I make more money after the crisis than before the crisis. If you are very new to stock market investment, buy those defensive stocks. These refer to the stable and essential businesses such as the utilities companies, the defense or weapons companies, and government linked companies. Those are very stable but the price is high. It is still better than to buy those penny stock and then see the companies bankrupt. Defensive stocks are well known for the good dividend, which is higher than the fixed deposit interest rate.
• Singapore
16 Nov 10
I will invest in stocks and depending on the economy, natural materials like gold, silver. I could also buy watches and keep them, I mean those ten thousand dollars watches. I think they will appreciate in time so it'll be a good investment.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi JudgeIron, I agree with the investment in stocks and commodities. I do not know anything about investing in watches. Since many people are not wearing watches now, and they refer to the cell phone and computer to check the time, I wonder how long the watch industry can last. The only thing is that resources such as gold, silver, and other commodities will never run out of investment value.
• Philippines
16 Nov 10
Well, if i have a lot of money ill study how to invest in the stock market. But if i only have enough i'd say ill invest it into a business like a restaurant or a bar. I've always wanted to have one . . .
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Haxorfreek, actually you can start studying about investment now. You do not need to wait until you have a lot of money. You can sign up for courses about finance, and corporate finance, plus seminars on technical analysis. You can also buy books or read them from the public library. There are many ways of investing. It is good to know as much as possible. The minute you have money, you can make wise investment. I think starting a business is more risky, because you have to pay others to work for you. At least in stock market investment, you are responsible for your own decision, no need to rely on others working for you.
@rog0322 (2829)
• Cagayan De Oro, Philippines
16 Nov 10
Hi there, I am investing my money on business. It is a little bit slower and is subject to market forces but the returns are good. It only takes a keen sense of reading the trends of the times, buy the necessary stocks, practice good management styles and I'm on the go.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Rog, that must be your best investment in life. Those with passion for business can get rich. They will not want to work for other people again. I think you can reinvest all your profits, so that your small business will become a very big business one day. Fortunately most people do not have the business mindset, and too many others start a business, and give up too easily, that is why the true businessperson can succeed with hard work. Hope you still have time to participate in mylot despite your booming business.
@del2010 (76)
• Philippines
16 Nov 10
If I have more than enough money I'd rather invest it in real estate properties. I would like to buy land or house and lot. If you invest it on land, your money will not be lost or decrease but instead it will grow. If you buy lot now and after 5 years you plan to sell it your money in return will be doubled or even more because the value of land does not go down. Same thing with house and lot you could even have it rented for a monthly income and sell it when needed. For me this is the best investment. Money market is also another way where you could place your money special deposit account. You could also earn but not too big. Investing in a business is also good that is if you find a good kind of business, but if you are not sure with it and doesn't know how to handle it then I think its not advisable because you might lose your money.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Del, i agree that real estate is a great investment. When it comes to real estate investment, many people choose towns with great colleges, then they can buy a few apartment units and rent them out to the richer students. Students are unlikely to buy a place when they are studying. I do not know much about real estate except apartment buildings. I have no experience about buying land and lot. It is good that you know something about it, and you can invest right away when you have the money for it.
• Indonesia
16 Nov 10
because I'm a commodity trader online. I wuld invest my money in gold trading online to get millions of money and make profit :)
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Smartrich, I think you have a great job, since you can use your knowledge from work to get rich. Most of us do not gain investment knowledge from our day work, we still have to study about different things, and experiment with the methods in textbooks or self-help books. I am not familiar with gold trading at all. I will definitely give it a miss, since I cannot invest in something I do not know. That is a recipe for failure.
@freakei (43)
• Philippines
16 Nov 10
I invested in a forex account, which I plan to grow even until after retirement. Part of my money is also tied up in real estate because I prefer concrete investments, whose benefits I can enjoy while I'm paying.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Freakei, you are the only one who mention about forex investment. I think most people do not know much about forex. If you have the knowledge, forex is the fastest way to get rich, and help you retire early. I notice that many forex traders retire in their 30s or early 40s. Most of them do not work after 45. I like real estate investment too. Since we all need a house to stay, we might as well use the knowledge to buy a few more properties for investment purpose. I am not familiar with factory or commercial land investment. I think that is a good idea too.
@qiaojh (27)
• China
16 Nov 10
if i have money,i want to buy a business.runing business is my dreames,i desire dreames will become true.but i face a lot of diffcults such as without money,without experiences and so on.it will solve a part of diffcults,if i get enough money.for the experiences ,i plan to master it within tho years in the future.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Qiaojh, if you have the money to take over a business, you do not have to worry about lack of experience. Those experienced employees will help you learn the business. After all, if your business fails, they will also lose their jobs. The lack of experience is a barrier only when you start a business from scratch. It is not a problem if you buy a ready business.
@megamatt (14292)
• United States
15 Nov 10
A fool's gamble. - A picture of the stock market ticker.
Well if I had money, and severe brain trauma, then the stock market might be an option. However, since my brain is in working order, I would not invest it in the stock market. I never really had as much money as I would like to have and most certainly not enough to really invest. There just seems to be a lot of options and when I do have the money, I might actually figure out a way to make it work. If I did, I might just sit on it for a while, after looking carefully into the best options. The lowest risk with the highest return of investment. That seems to be the best way to deal with such things after all. Still I might just end up sticking the money away to save it. Perhaps putting it in a money market where the interest rates are decent and there is no chance of loss. After all, you can have the money but you lose it in a heartbeat.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Megamatt, I think it is time you start to learn about investment. When you have money, you will know what to invest. Everyone has the chance to get rich one day. The problem is you do not when it is your turn. Actually stock market is not risky. The risky part is when people gambles with it, instead of learning to invest properly. The right way to do it is to check out the companies as if you are going to work there for the next 30 years. You want a company that makes money, pay good bonus, and can last for many years. That is how we select companies in the stock market. If the company closes, the workers lose the job, and the investors lose money. That is why the same concept applies to job and investing. If you want safe investment option, then government bond is one of the safest. It is as if you place the fixed deposit with the government, and the government pays you interest.
@hushi22 (4928)
15 Nov 10
i will definitely migrate and then from there study and work until i earn much to start my own business.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Hushi22, that is a very good plan. If you have more than enough money, you can also buy insurance plans to provide income for every one in the family too. In this case, you are taking care of them even though you are studying overseas, and living oversea. Study is the best investment. Knowledge is something that nobody can take away from you.
@sjlskl (3382)
• Singapore
15 Nov 10
I will say gold. While the world economic is in turmoil, the price of gold just keep going up. It seem like gold is "recession proof". Next would be land. And that the price is land is relatively cheaper than during the boom period, it will be wise to snap them up and enjoy the appreciation in value when the economic picks up.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Sjlskl, I am not familiar with gold investment. I think commodity will be better than gold, since commodity is a must for survival, but gold is just for investment purpose. I do agree about buying land. The price of property is definitely low in a recession, with the exception of Asia countries. The real estate price in china and many cities in Asia keep going up, even when people are jobless. I cannot understand the situation.
@tovk12 (234)
• India
15 Nov 10
If I had enough money I would invest in real estate. I would buy a beautiful home for myself and a seperate place which will fetch me enough rent to leave the job without worrying about regular income. I would also purchase some good insurance policies which will give me regular income. Then I would love to purchase some real good jewelery. I love jewelery. Dreams !!! How I wish they would come true!!!
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Tovk, good to hear that you have set your priority right. Fortunately you want real estate before jewelery, otherwise your money will run out very fast. I agree on both parts about real estate and insurance policies. I have no knowledge about jewelry. I think after you buy the expensive jewelry, you would have to buy insurance to insure the jewelry. Plus a safe deposit box to keep the jewelry.
@harry89 (2330)
• India
15 Nov 10
Well, if i got enough money to invest then i would like to invest in real exchange as the property here is getting expensive day after day so if i get a property here then i can earn good capital here. And the 2nd option would be gold as we all know that gold is at its high right now and maybe it keep rising like this. I just want to invest with minimum risk. Happy mylotting. Regards, harry.
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Harry, I agree with the part about real estate investment, but not the part about gold. After all, you can rent out the house to get rental income every month, and you can sell the house in the future for capital gain. But gold is different. We do not need gold in order to survive. We need a house to live, but not gold. Gold does not generate monthly income too. it is just capital gain or even loss. I think gold price is too high. I would think commodity is a better investment, since people need food every day. The disasters everywhere also affect the harvest.
15 Nov 10
I want to buy a property then i build house then rent it with resort then i put small store
@scheng1 (24650)
• Singapore
16 Nov 10
Hi Taz, I never thought of buying a land, build house and then build a small store in it. Over here, the government sells land to the developer, and they build apartment blocks. We buy the apartment directly from the developer. I think if you have more money, you can even buy a bigger piece of land to start a plantation.