The previous several years were pretty difficult for the majority of investors. Now, when a recession is looming, it apparently becomes even harder to come up with a stable investment plan that can at least save your money or even multiply them. But there’s no bad time for investing, you just need to find an interesting and promising investment asset. To help you make a decision, we’ve arranged a list of the top 4 financial instruments that can prove to be very useful as investments in 2023.
Why you should invest now
The market can look really scary now, especially for novice investors. However, there are experts who say that such times are perfect to start investing or add something new to your portfolio. The reason is that you can buy most assets at low prices right now and wait for them to grow back eventually. It’s an important experience as well: you can become more knowledgeable by looking for opportunities even during such times. All in all, you shouldn’t be afraid to invest, but you should know where to invest in 2023 to avoid losing your money. Let’s see which instruments you should definitely check out.
Index ETFs
ETFs are convenient financial instruments that allow you to diversify your portfolio even if you have no money for buying hundreds of different securities. These instruments already include several hundred stocks chosen by looking at a benchmark index like S&P 500, and you can buy such ETFs without too many problems as they are offered by most online brokers.
Dividend stocks
Such stocks allow you to earn double profits: you get the growth of stocks and the stable income more common in bonds, all at once. It’s a great investment option during these difficult times due to their stability and safety, and you can look for companies who increase their dividends over time, bringing you more and more profits each year.
Government bonds
Government bonds are extremely stable and safe financial instruments. They are considered risk-free, but their profitability is also rather low, so you shouldn’t really use only these bonds for your portfolio.
Cryptocurrency
While the crypto market is also in trouble right now, that means you can buy most tokens at extremely low prices and sell them later, when they skyrocket once again. While attractive, this scheme is rather risky, so you definitely shouldn’t put all your money here, too.
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