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If you want to have a comfortable future, investing should be among your top priorities. Anyway, you never know when your country’s economy will turn on its head. When you invest, you will have a source of income when you retire and meet your financial goals. However, you should be careful when choosing what to invest in since investing comes with its risks. Below are some of the common types of investments.

Online Savings Accounts

Just like in traditional savings accounts, you can deposit and withdraw money from an online saving account. It is a low-risk investment you can choose during uncertain economic times. However, you can earn less than what you expect if you re-invest because of inflation in interest rates.

You have to manage and fund the account via the internet. When you store money in such an account, it will earn more interest than it would have earned when stored in a traditional savings account.

You can link your online savings account with your traditional bank account for you to transfer money between multiple accounts. You can also use an ATM card to access the saved money if the online bank offers this option. If your bank does not offer the above options, request a check.

An online savings account is as liquid as your money. You can remove or add money to this account whenever you want. However, some online banks limit the number of withdrawals that you can make within a certain period.

Rental Property

Rental property is a good investment option if you want to be a long-term investor. However, you need to be willing to manage your property for better returns. You can buy or build a new rental property. A 1031 exchange is a good way to get into real estate investment.

If you have decided to pursue this route, think about the right property to choose and be ready to deal with tenants. If you make a smart purchase, you will get great returns from this type of investment. However, you might be faced with difficulties during tough economic times with this type of investment.

Although a rental property is a less liquid investment, it can help you get a powerful cash flow when you retire. To get such returns, hold down your property over time. Also, pay down any debts associated with the property and grow its rents.


If you want an investment that will grow over time, invest in shares. When you are a shareholder of a particular organization, you will be paid out whenever it makes profits. If this does not happen, the company will re-invest and hence increasing the value of your shares.

For this investment to help you in the future, you need to choose a good organization. You can get such an organization if you research extensively. For instance, look at the financial statements of different organizations and their regulations.

The price of shares can change from day to day, and this is why you need to buy them only if you want to be a long-term investor. You also need to be willing to endure the market’s ups and downs. If you are lucky, you will get good returns from shares.


If you want an investment that continuously generates income, this is a good option. It involves giving money to companies or governments and being paid back together with some interest. Although it focuses more on income than growth, it is a low-risk investment option.

A company or government that needs money can trade a bond privately or over-the-counter. The bond will have a face value, a coupon rate, and maturity date. The coupon rate will depend on the credit rating of the bond issuer.

Which Investment Is Right For You?

Although you may want to know which of the above investments is good, it is hard to identify it since different people have different preferences. However, by looking at your goals, needs, and the period you want to invest, you will know the best option. For instance, you should not invest in shares if you’re going to save money for a house deposit.

Investing will help you have a source of income even when you are old. However, you need to choose a good investment option. By considering your goals and the period that you want to invest in, you will identify the option that suits you best.