After years of scrimping and saving on bills, finally, you have topped the $10k mark in your bank account, which is definitely a huge accomplishment. Congratulations!
Upon meeting such a big milestone, you feel more energetic and motivated while hoping to earn the next breakthrough in your life. But the fact is, the next step is even more difficult. You have to set up the next goals and figure out how to put that hard-earned money into great use so you can make that money grow and earn more with each passing day.
Therefore, to make things a bit easier, here I have compiled a straightforward guide that is full of great investment ideas that can help you invest your $10,000 wisely in Australia to achieve your personal finance goals.
So, without further ado, let’s move to the incredible investment options available for all Aussies who are struggling to make more money with their $10k.
1. Invest in Equities:
Equities- which is probably another name for stocks and shares.
And that’s exactly what many Aussies think when it comes to investment. When you get yourself into equities trading, we know it may sound a bit intimidating at first- especially if you are not aware of the stocks and share market.
But of course, nobody expects you to become a millionaire in one night. It always makes sense to start from small, and then choose whatever investment level you think is okay for you.
The good news is there are plenty of ways to invest in equities.
If you want to opt for the buy and sell an option, you can get the help of any reliable broking service that can easily facilitate your transactions for incredibly low rates per transaction.
Remember, a full-service stockbroker may charge you exorbitant money. But they can surely offer you a more personalized and valuable service, which could prove to be beneficial in the long run.
2. ETF’s – Exchange Traded Funds:
ETFs or Exchange Traded Funds are another lucrative kind of investment fund that holds your assets like shares and bonds.
These are usually the hybrid of equities as well as index funds. ETFs are also regular index funds or pooled investment security that operate like a mutual fund system. People can invest their wealth into multiple assets that range from shares, currencies, and much more.
However, the major difference between regular funds and ETFs is, instead of buying some units in ETFs, like people do with an index fund, they can simply buy some shares in an ETF. This is similar to buying equities on the stock exchange, which can even be sold or traded.
The best part is buying shares in an ETF is quite easy, quick, flexible, and less costly than buying units in a properly managed fund. It provides a simpler alternative to invest in the index’s range of assets.
Though you will be required to pay brokerage fees while trading your ETF shares with the help of a fund manager, which is more like buying or selling equities.
Many investors in Australia choose to put their money into Bitcoin as well as several popular blockchain-based cryptocurrencies with the goal of generating more money quickly. They just want to recreate the success stories when the value of bitcoin skyrockets within a couple of days, allowing them to cash out a huge amount with less investment.
However, you will also learn many stories of investors who were eagerly investing a big amount in a new cryptocurrency, so they can find out if the value drops or raise. These kinds of experiences often leave many investors angry and frustrated and in fact, out of cash.
There are lots of considerable regulations in place that protect cryptocurrency investors. So before investing your hard-earned $10,000, it’s better to do a lot and lots of research. When you are fully aware of each detail of cryptocurrency and you think it’s worth investing in, then contact a reliable exchange that has great knowledge and expertise in the field.
4. Deposit Money in Savings Account:
This is one of the brilliant ways to invest your money in Australia in 2022- which is probably known by everyone!
Your savings account is actually quite different from your typical bank account because it allows you to earn great interest on the amount you deposit.
Savings account offer the safest way to save and invest. This account type always encourages you to keep making huge deposits and avoid making any kind of withdrawals. The unique feature of a savings account is, the more money you will add to this account, and the longer you will keep it there, you will get the chance to earn more money quickly until you reach your saving goals.
It’s important to keep in mind that a savings account is not some kind of shortcut to becoming extremely wealthy- you will have to wait for a significant period to earn a great amount of interest.
5. Find Real Estate Investment Opportunities:
This is another lucrative investment opportunity. Especially if you are interested in property affairs and good at dealing with them, then there is nothing better than getting involved in a real estate market.
When you step into real estate, you can simply generate a significant income stream while producing a risk-reducing diversification. The reason is, tenants will keep paying rent, even in the situation when the stock market falls heavily.
Moreover, real estate and the stock market are typically associated. When one falls off, the other just hit new heights of success. This kind of inverse relationship actually makes real estate an ideal complement to stock market securities.
Even if you don’t want to buy an entire building, there are still several opportunities in real estate that can generate a healthy income stream.
There are still plenty of opportunities to invest your hard-earned cash. However, the methods we mentioned above are truly tried and tested and deliver the best return on investment. So, whether you want to save for your college fund, buy a house, or just want enough money for retirement, you can easily put your $10k into work to generate more handsome earnings for the future.