Getting High Yield Investments With Your Money

Getting High Yield Investments With Your Money

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Introduction. Volatile stock markets, insufficient bond yields, and low interest rates, are frustrating investors. Many investors are not sure just what to do with their portfolios.

Most people would rather have $1,000 now rather than getting it in a year. This is due to the time value of money. Whenever the federal government places new bills in circulation, which costs it very little, it makes a tremendous profit. It is this result that tends to keeps this practice ongoing. Printing more money causes inflation because more dollars are chasing the same amount of goods and services. Inflation in turn reduces return on investment for investors. Current inflation rates are higher than reported by the CPI. CPI has been redefined in recent years and no longer accurately represents the true inflation rate. With high inflation combined with low interest rates, investing can result in loss of buying power rather than an increase. At this point you may ask: What should I do with my money?

First let\'s look at the definition of money. Money is a tool to accomplish things and as a convenient method for exchange. Money only makes sense when there are people available for production, and goods and services are actually produced. Most people worry about how much money they have and how they can get more rather than thinking about what money is. If one hides his money in a mattress it does nothing for the economy. It is much better to put money to work where it can do good and return profit for the investor.

Money In The Bank? For me real investing is putting your money to work, not handing it over to a bank to earn them profits in return for locking it away from you. Many savers could be missing out on higher interest payments because they have no idea what their money is earning or how their account compares with others. When your money is in a bank account or CD, it is not being used effectively and probably netting you a loss due to inflation. The best way to maximize the power of your money is to place it where it can do a lot of good work and return a high interest rate. As we discussed above, investing money is putting it to work for you instead of you having to work. Well, if the Bank is not such a good place for your money, what about Bonds?

Let\'s examine if you should put your money in bonds. Current bond rates are around 5%. At today\'s real inflation rates 5% bond return after inflation is actually losing money resulting in a loss in buying power. So, placing your money in bonds for a period of time and then getting the interest and principle back later means the total amount has less buying power than before you invested. Therefore, investment returns need to be higher than real inflation to get ahead. Do you feel the Stock Market is the answer?

What if I put my money in the Stock Market? Current stock market volatility could drive you to drink. Lately the market has been up 300 one day and down 350 the next. This represents higher than usual risk when you put your capital in the stock market these days. If you are actively trading in the Stock Market the volatility may make you want to stay glued to the screen, you may experience higher than normal stress, and it can basically seem to control you. Other investment vehicles are less volatile reducing your need to watch them every day and to worry about your returns. Isn\'t there any good place to put your money to work?

How do you effectively put money to work? Wealthy people learn to put their money to work for them so they don\'t have to continue working. You can earn money every month -- profit, without you having to personally do extra work -- by putting your money to work for you. The truth is that when you invest, you are putting your money to workliterally. If you put your money to work you expect it to earn a good wage, a return. Prioritizing your money means putting your money to work in the most effective way, directing it into high-interest accounts. Well, just where do you find these accounts?

There are current factors which have lined up which give us unique opportunities to put money to work at higher rates. There is a big turmoil in the mortgage / lending industry right now, you no doubt have heard of it. Well, lucky for us, turmoil breads opportunity, if you know where to look for it. Recently, lending companies have tightened up their lending practices creating more red tape for real estate developers. Therefore, developers are willing to pay higher rates with private lenders in order to have less red tape and quick response. A developer uses investor\'s money to increase the value of existing real estate or to create valuable new real estate. The faster he can do this the more profit he makes. His developments make a good profit and he loves to share some of that profit, in the form of high interest payments, with his private lenders that make things happen faster.

So, to conclude: You need to partner with a company that treats your money and your return with importance. The developer, as a responsible user of his investor/partner\'s money, will be constructive with it while improving his community. The developer administers the funds and allows investors to participate in community development for a defined period of time. In our company, for example, we do community development in Baltimore city and we make sure our investors get an extremely good monthly return. Our investors know that we need them to make our business better and they know we are going to treat them right. Our investors may place their money in our projects fund for extended periods if they wish so that they can plan on a high return for that entire period. Our projects usually take from one to three months but our investors typically ask us to roll their money over from one project to another thereby yielding a continuous return by re-using their funds for as long as they wish. We usually have ten to fifteen re-habilitation projects going at once resulting in great new places for people to live, improving the neighborhood, and yielding a high return for our partner investors. We offer a free prospectus so you can see what we do.

About the Author:
To get a prospectus delineating how you can get great returns go to High Yield Investments For help from financial expert Bob Hill go to financial help You can get a unique content version of this article.



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