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Do you have a strong portfolio earning money for your future? A lot of Americans don’t even have savings. Only 40% of Americans could pay for an unexpected $1,000 expense.
A good portfolio is diversified. Alternative investing keeps your head above water when traditional investments fail.
Check out these different ways to strengthen your portfolio.
1. Baseball Cards
Baseball cards aren’t just for kids anymore. People have turned the classic hobby into a money-making machine.
If you haven’t kept up with the prices and costs of sports cards, several are selling for hundreds of thousands of dollars. Some cards are even worth millions in the right condition.
Adding sports cards to your portfolio should be done with a lot of research. Like any investment, cards can lose value — especially if the demand drops.
Your best bet for getting cards that will hold and increase value is by purchasing professionally graded vintage cards. Mickey Mantle, Babe Ruth, and rare Michael Jordan cards in mint condition are worth thousands of dollars.
Try not to invest money in prospects or rookie stars. The main reason is that the players haven’t had enough time to show they can perform at the highest level for a sustained period.
If you decide to add cards to your portfolio, make sure they are graded by PSA or BGS and kept in a safe place just like any other valuable.
2. Alternative Investing With Bitcoin
What is Bitcoin? Some people believe that paper currency will be eliminated in the near future. Bitcoin is a digital currency that isn’t controlled or regulated by a government or governing body.
Bitcoin controls a large market of the cryptocurrency space. Some vendors and platforms accept Bitcoins as payment.
The advantages of Bitcoin in your portfolio are numerous. First, your Bitcoins are held in a digital wallet. You don’t have to worry about storing them in a safe or buried in the backyard.
Second, while Bitcoin transactions are on an open ledger everyone can see, it’s anonymous. There’s no need to expose who or where you are.
Lastly, Bitcoins are currency, but they’re also volatile. Overnight, Bitcoin could jump 200% in value. In the cryptocurrency exchange, you could make thousands of dollars in one transaction.
The current price of Bitcoin is about $10,944.90; however, this price fluctuates up and down hourly.
3. Precious Metals
Over a hundred years ago, it wouldn’t have been uncommon for people to store their family’s savings into gold or silver. Precious metals have been valuable for centuries and will continue to hold value.
The main reason people love gold and silver is that they’re beautiful. Pure gold has a pretty shine that’s very appealing to the eye.
Another reason precious metals have value is due to their rarity. Gold is extremely rare, and the United States government goes through great lengths to protect our gold reserves at Fort Knox.
Like other commodities, gold and silver fluctuate in value. During times of economic crises, investors and speculators tend to buy precious metals because of their security in the market.
You don’t have to buy just gold and silver. Platinum, palladium, and diamonds are also collected and sought by people looking to diversify their portfolio. Hedge against the stock market by investing in precious metals.
4. Venture Capital in Private Equity
Have you thought about owning a company? You could be an owner of the next big tech company by offering venture capital in return for private equity.
Not a lot of people can say they have company equity in their portfolio.
As a venture capitalist, you’ll be required to put up sizeable amounts of money to get startup companies off the ground. In return, these companies will reward you with a piece of their company.
In some instances, the startup company will also offer a spot on its board of directors.
If you want to invest in a company, make sure you do thorough research. Spend time learning what the company does and who is leading the organization. It’s your money, so don’t waste it on a startup that will fold in a month.
Venture capital doesn’t offer quick returns. Think of this as a long term investment that won’t mature for at least five years. Companies like Instagram, Uber, and Twitter didn’t achieve success overnight.
5. Real Estate Guru
Now is the time to get in on the ground floor of real estate investing. The interest rates and popularity of flipping have never been better.
There are a few different investment strategies you can use for real estate. The most popular option is to buy a home and then rent it out. The rent money is used to pay for the mortgage or as a passive income.
After holding the property for several years, the hope is the housing market has jumped and you can sell for a huge profit.
Some people invest in real estate property in hopes of flipping the home as soon as possible. An investor buys a house that needs repairs and finishes them. Then, they turn around and sell the house at fair market value to recoup expenses and profit.
There are endless possibilities when you have properties in your portfolio. You can do short-term rentals, flips, or land contracts. Making money while you sleep is the American dream.
Diversify Your Portfolio for Future Wealth
A financial portfolio diversified with alternative investing positions you for future wealth. The diversification protects you from shortcomings in one part of your investments.
With these alternate investment strategies, you’ll have retirement options in the future for years to come.
Enhance your future wealth by increasing your education. Start by checking out more of our blogs covering finance and investing.