What is the best investment for the next 5 years?
One of the most straightforward methods to potentially grow a $5,000 investment over the long term is by investing in a fund that tracks the S&P 500.
- High-yield savings accounts.
- Money market funds.
- Short-term certificates of deposit.
- Series I savings bonds.
- Treasury bills, notes, bonds and TIPS.
- Corporate bonds.
- Dividend-paying stocks.
- Preferred stocks.
One of the most straightforward methods to potentially grow a $5,000 investment over the long term is by investing in a fund that tracks the S&P 500.
Period (start-of-year to end-of-2023) | Average annual S&P 500 return |
---|---|
5 years (2019-2023) | 15.36% |
10 years (2014-2023) | 11.02% |
15 years (2009-2023) | 12.63% |
20 years (2004-2023) | 9.00% |
Best large-cap stocks | Sub-Sector | 5Y Avg Return on Equity (%) |
---|---|---|
Varun Beverages Ltd | Soft Drinks | 18.42 |
Cholamandalam Investment and Finance Company Ltd | Consumer Finance | 18.68 |
Titan Company Ltd | Precious Metals, Jewellery & Watches | 23.76 |
Bajaj Finance Ltd | Consumer Finance | 19.28 |
What are the safest types of investments? U.S. Treasury securities, money market mutual funds and high-yield savings accounts are considered by most experts to be the safest types of investments available.
Conventional wisdom holds that when you hit your 70s, you should adjust your investment portfolio so it leans heavily toward low-risk bonds and cash accounts and away from higher-risk stocks and mutual funds. That strategy still has merit, according to many financial advisors.
For a quick return on a $5,000 investment, consider options like stock trading, especially in high-growth sectors or investing in a diversified mutual fund. Short-term P2P lending can also be a way to see quicker returns, though it carries higher risk.
As a rate of return, long-term mutual funds can offer rates between 12% and 15% per year. With these mutual funds, it may take between 5 and 6 years to double your money. Kisan Vikas Patra (KVP): It comes under the Post Office Small Saving Scheme.
- High-Yield Cash Account. Considered one of the safest investments, a high-yield cash account can potentially keep your money safe. ...
- Tax-Advantaged Investment Account. ...
- Taxable Investment Account. ...
- Real Estate. ...
- I-Bonds. ...
- Precious Metals. ...
- Alternative Assets.
How do you get 10% return?
- Stocks.
- Real Estate.
- Private Credit.
- Junk Bonds.
- Index Funds.
- Buying a Business.
- High-End Art or Other Collectables.
Let's say you want to become a millionaire in five years. If you're starting from scratch, online millionaire calculators (which return a variety of results given the same inputs) estimate that you'll need to save anywhere from $13,000 to $15,500 a month and invest it wisely enough to earn an average of 10% a year.
You can also run it backwards: if you want to double your money in six years, just divide 6 into 72 to find that it will require an interest rate of about 12 percent.
S.No. | Name | CMP Rs. |
---|---|---|
1. | Rama Steel Tubes | 12.25 |
2. | Brightcom Group | 14.95 |
3. | Easy Trip Plann. | 43.80 |
4. | Radhika Jeweltec | 65.00 |
S.No. | Company | Industry/Sector |
---|---|---|
1. | Tata Consultancy Services Ltd | IT - Software |
2. | Infosys Ltd | IT - Software |
3. | Hindustan Unilever Ltd | FMCG |
4. | Reliance Industries Ltd | Refineries |
Name | 3Y Return | Net Profit YoY % |
---|---|---|
Reliance Industries Ltd | 69.63% | 9.2% |
Tata Consultancy Services Ltd | 22.15% | 10.02% |
Bharti Airtel Ltd | 144.94% | 47.95% |
ICICI Bank Ltd | 88.56% | 35.55% |
- Max out contributions to retirement accounts. ...
- Invest in mutual funds, ETFs, and index funds. ...
- Buy dividend stocks. ...
- Buy bonds. ...
- Consider alternative investments. ...
- Invest in real estate. ...
- Fund a health savings account (HSA) ...
- Park your cash in an interest-bearing savings account.
Warren Buffett once said, “The first rule of an investment is don't lose [money]. And the second rule of an investment is don't forget the first rule.
While the product names and descriptions can often change, examples of high-risk investments include: Cryptoassets (also known as cryptos) Mini-bonds (sometimes called high interest return bonds) Land banking.
The concept of the "safest investment" can vary depending on individual perspectives and economic contexts, but generally, cash and government bonds, particularly U.S. Treasury securities, are often considered among the safest investment options available. This is because there is minimal risk of loss.
Where is the safest place for my money right now?
- Checking accounts. If you put your savings in a checking account, you'll be able to get to it easily. ...
- Savings accounts. ...
- Money market accounts. ...
- Certificates of deposit. ...
- Fixed rate annuities. ...
- Series I and EE savings bonds. ...
- Treasury securities. ...
- Municipal bonds.
For example, if you're 30, you should keep 70% of your portfolio in stocks. If you're 70, you should keep 30% of your portfolio in stocks. However, with Americans living longer and longer, many financial planners are now recommending that the rule should be closer to 110 or 120 minus your age.
- Build up your distance gradually. Building up to a 10K takes time so don't expect to achieve too much too soon. ...
- Take rest days. ...
- Cross-train. ...
- Stretch. ...
- Do one long run a week. ...
- Do a threshold session once a week. ...
- Set yourself a goal. ...
- Stick your training plan on the fridge.
- Become A Freelancer. Freelancing is one of the most popular ways to make money quickly. ...
- Invest In Cryptocurrency. ...
- Participate In Online Surveys. ...
- Become A Virtual Assistant. ...
- Do Odd Jobs. ...
- Create An Online Course. ...
- Become An Affiliate Marketer. ...
- Sell Your Stuff.
Try Flipping Things
Another way to double your $2,000 in 24 hours is by flipping items. This method involves buying items at a lower price and selling them for a profit. You can start by looking for items that are in high demand or have a high resale value. One popular option is to start a retail arbitrage business.
References
- https://www.indmoney.com/articles/top-5-stocks-to-invest
- https://www.indmoney.com/stocks/category/high-return-stocks
- https://www.womensrunning.co.uk/training/making-transition-5k-to-10k/
- https://www.boldermoney.com/blog/how-to-make-10-000-fast
- https://www.investopedia.com/ask/answers/021615/what-safest-investment.asp
- https://www.screener.in/screens/541146/growth-stocks-for-next-5-years/
- https://www.investopedia.com/financial-edge/0709/so-you-wanna-be-a-millionaire-how-long-will-it-take.aspx
- https://time.com/personal-finance/article/best-way-to-invest-100k/
- https://money.cnn.com/retirement/guide/investing_basics.moneymag/index7.htm
- https://www.policybazaar.com/life-insurance/investment-plans/articles/9-ways-to-double-money/
- https://finance.yahoo.com/news/much-money-stock-market-75-180021414.html
- https://www.gobankingrates.com/money/making-money/best-ways-to-double-5000-dollars/
- https://medium.com/@dontworkanotherday/how-to-double-2000-in-24-hours-9-easy-methods-dc9ee24571fb
- https://money.usnews.com/investing/articles/best-ways-to-invest-5000
- https://www.newsweek.com/vault/investing/how-to-invest-50000/
- https://www.bankrate.com/investing/low-risk-investments/
- https://www.forbes.com/advisor/investing/best-safe-investments/
- https://www.marketwatch.com/picks/this-is-warren-buffetts-first-rule-about-investing-heres-what-to-do-if-your-financial-adviser-breaks-that-rule-01635799738
- https://www.tickertape.in/blog/best-long-term-stocks-nifty-500/
- https://www.usaa.com/inet/wc/advice-finances-safe-place-for-saving-cash
- https://www.fca.org.uk/investsmart/understanding-high-risk-investments
- https://www.nerdwallet.com/article/investing/average-stock-market-return
- https://finance.yahoo.com/news/10-return-investment-roi-141300511.html
- http://www.moneychimp.com/features/rule72.htm