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Real Estate? Stocks? Bonds? Gold? How Do You Know?

Finding a safe place for your money is a difficult process and often confusing process. For every opinion you can find another one that takes the opposite view.

Some experts say it is time to put your money in the stock market and that stocks are ready to take off. Other experts say that the market is going to tank, soon. Both experts give valid reasons why either could happen. If you choose to invest in the stock market then you need to find companies or funds that have a bright future and an investment firm that is legitimate, solid, and not making bad investments themselves.

Ponzi schemes and investment firms absconding with investor’s money is all too real and we have many examples to prove it. We all know about Madoff and Stanford, but there are so many across the country that there is a site http://www.ponzitracker.com to keep track of the many investment frauds.  MF Global invested heavily in the Euro and when they couldn’t pay their bills used investor’s private accounts to pay their creditors. This is fair warning to know who you are doing business with. It couldn’t be more important.

You can always check into bonds. Various types of municipal bonds and corporate bonds have historically been a good investment. Rumors were rampant a few years ago that the bond market was going to tank and although some areas had problems, which can happen with any investment, the bond market weathered the storm rather well.

If the stock market and bond investments keep you up at night, putting your money in CDs is always an option, although the low return on your investment is close to putting your money under the mattress. Both choices can leave you losing value if inflation rears its ugly head.

Real estate may be a good investment, but no one knows for sure if the housing market has bottomed or if we are going to suffer depressed prices for years to come. Again, the experts cannot agree. Certainly, real estate is a better investment than it was 3-4 years ago with the cheaper prices we have now.

Many people are investing in gold and have done very well. They not only have kept up with inflation, protected their money, but they also gained a great deal of value. Regardless of the naysayers, gold continues to go up and has heavy investment from people in India and China, where economies are growing.

The cardinal rules of investing are to perform due diligence, know who you are doing business with, know what you are investing in, and if you can’t explain the investment on the back of a napkin find another place to invest. Many experts recommend investing 10-15% of your assets in Gold to balance your portfolio and protect it in cases of economic turmoil. Historically, gold has been a way to protect your money in turbulent economic times. If you choose to invest in gold, pay only 5% to 20% over the spot price of gold for gold bullion coins and follow the cardinal rules of investment. Check out our Gold Dealer Reviews to find the best partner for you.

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