The Pew Research Center estimates that more than 50% of Americans have some investment in the stock market. Many individuals invest in the stock market and other avenues to build wealth.
Indeed, you will never get rich without an investment portfolio. Even lottery winners who are extremely lucky invest their money by buying tickets before becoming millionaires.
Luckily, you can do a lot with little cash, even as a beginner investor. Whether you have $1,000, $100, or even $50, here are some of the best ways to earn more with little.
Invest in real estate crowdfunding
Real estate is a trusted and effective way to build wealth. It is no surprise that over the last 200 years, about 90% of the world’s millionaires have achieved this status through real estate investing.
Many people assume that it takes money to make money as a real estate investor, but this is not entirely true. You can invest in real estate without significant cash through crowdfunding.
Real estate crowdfunding involves teaming up with other investors to pool resources together for purchasing real estate. Then, you become a partial property owner, entitling you to a share of the profit made from renting or selling the building.
Trade currencies
The currency market is undoubtedly one of the best avenues to consider as an investor with cash of as little as $100. The global reach of commerce, trade, and finance makes the forex market the largest and most liquid asset market worldwide.
As a forex trader, you will simply purchase one country’s currency and sell that of another through the forex market.
Forex trading always occurs in pairs; one currency must necessarily be exchanged for another for a transaction to be complete.
Leverage is your friend as a forex trader since it allows you to trade with higher sums of money than what is actually in your account.
Put money in a high-yield savings account
Online banks and credit unions usually offer customers the opportunity to create high-yield savings accounts. Unlike the regular savings accounts, these accounts offer pays about 20 to 25 times more than the national average.
Today’s leading high-yield savings accounts give you 0.8% to 1.4% interest, which is much higher than the 0.06% you will receive from your local brick-and-mortar bank account.
You can start small as a high-yield savings account holder; by investing just $5 weekly, you can earn $2,747 after 10 years at 1% interest. Many experts agree that you will have difficulty discovering an easier way to make more with little than leveraging a high-yield savings account.
Take advantage of certificates of deposit
Certificates of deposit operate like savings accounts, but you can enjoy higher interest rates by leaving your cash untouched for a set period known as a “term.”
This term could be as little as three months or five years, and you will receive fixed monthly interest payments in exchange. Many certificates of deposit do not specify minimum investment requirements. However, those that do specify allow you to get started with as little as $500 or $1,000.