Achieve Your Financial Goals in 2020 with Best Investment Plans

So, you are an international businessman who is thinking about raising funds in his/her global business by investing in the best international investment plans. It is a good initiating step to reach the global market!!! Though international investing can be tricky sometimes due to language barriers and currency conversions at the same time, it can give you quality exposure in the international market. Therefore it is recommended by most financial advisors & institutions holding at least some foreign stocks in the portfolio. So, what are the best investments plans to invest in the global market? Well, fortunately, there are several interesting & safe ways to invest in the global market without facing any risk-factor.

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Top Investments to Make In 2020

Finally, the New Year has arrived and you may be thinking to make some significant changes not only in your life but in your global business as well. Maybe you want to spend more quality time with your loved ones or just want to make a respectable amount of money with a high-interest rate. But, where should you invest your money? What are the best spots to increase your capital in business? Here are some of the best picks we have figured out. Let’s have a look:

Short Term Options —

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If you want to focus on short term investments, there are endless options for you. The short term or temporary investments or marketable securities are those investments that yield their returns typically in less than 5 years or some cases within a year. They are specially designed to offer you considerable returns in a short period and if you are interested in short term investment options, some of the best options are here that you can avail.

1. Short Term Bonds — If you are investing money with an idea that you do not want to stick up with cash for too long or require the money within a short period, then short term bonds are the perfect solution for you. They usually come with a term of fewer than 5 years and tend to be less sensitive to changing interest rates. There are many short term bond funds you can choose including Dividend Stocks or High Yield bonds etc.
2. Online CDs — If you are thinking to invest your money for a certain amount of time, you must avail of the option of online CDs i.e. Certificates of Deposit. They are being offered by many online banks with interesting rates. You would be able to hit an APY of 3% or more to invest your money for as long as five years. There are some similarities between CDs and saving accounts and sometimes it could be difficult to decide the suitable type of method so you should make sure to learn the nooks and cranny of each before investing.
3. Peer to Peer Lending — An increasing number of investors are gaining success through Peer to Peer lending platforms such as Lending Club or Prosper where the individuals can lend their money to others who are looking for loans for paying off their debts without involving banks. This option is less risky and you can also get higher returns than bank savings accounts or bonds. Here, you can set up your entire portfolio of debts with several risk ratings and interest rates while the interest can vary according to the borrower’s creditworthiness.
4. Money Markets Accounts — They are popularly known as liquid funds and considered a special category of mutual funds that allow investors to invest their money and earn a higher interest rate than a savings account. Through money market accounts, you can invest in several instruments such as term deposits or commercial papers, etc.
5. Treasuries — In simple words, treasury securities are the bonds issued by the US Treasury and backed by the government’s credit. They are the most sought investment option for those who are looking for preserving their savings and earn passive income as well. You can invest in a variety of treasuries including treasury bills, treasury notes, floating-rate notes or the most popular one option is treasury inflation-protected securities.

Long Term Options —

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If you are ready to leave your investments for a longer period, then you must avail the options in long term investments. They are the perfect high return earning option than short term investments that allow investors to take more risks. Here are some of the best long term investment plans.

1. High Yield Savings Accounts — There is no doubt that saving accounts do not offer very high-interest rates these days, even the national average on saving account is under 0.10%. So, the better idea would be online savings accounts that offer better than average rates. According to Bankrate.com, Ally Bank, Marcus by Goldman Sachs, CIT Bank, CapitalOne, WebBank, and many other banks offer APYs as high as 2.5%. You can choose according to your suitability.
2. ETFs and Mutual Funds — The easiest, safest and most common way to invest in a foreign market is by purchasing mutual funds and Exchange Traded Funds (ETF) where you get a basket of international stocks and bonds. You can choose between different types of mutual funds or ETFs like international funds, Regional funds, Country Funds or Sector funds, etc. Many mutual funds and ETFs strongly focus on growth stocks i.e. they are suitable for companies with sound revenue growth and competitive advantage. The popular growth mutual funds and ETFs are — T. Rowe Price Blue Chip Stock Fund [NYSE: TRBCX], Fidelity Blue Chip Growth Fund [NYSE: FBGRX] and Vanguard Prime Cap Fund [NYSE: VPMCX].
3. Individual foreign stocks with ADRs — If you prefer the hands-on approach, you should buy individual foreign stocks by using American Depository Receipts (ADRs). These are simply U.S traded securities that define your area of ownership in the shares of foreign companies. As they are denominated in Dollars and can be easily traded on the NYSE, NASDAQ or AMEX, ADRs do not demand any complex currency conversions or foreign exchange transactions. Though Toronto Stock Exchange (TSE) in Canada or the London Stock Exchange (LSE) in Europe is some of those foreign stocks that are not available as ADRs and you have to purchase them on foreign exchanges.
4. Capital Preservations — If you want to protect the available money you have to invest by choosing the ensured and fixed-income investments, then capital preservation is the better way than US Treasury. Though the yield on treasuries is low still they offer the safer platform for your savings with some income. According to the published rates from the US Treasury Department, the yield you will get in 2019 is 2.5% by a 30-year treasury bill which is better than most of the bank accounts.
5. Individual Stocks — If you are planning to invest for a longer time, you can additional risks and buy shares of specific companies. If you are a new investor, just go for a company with a solid potential and steady growth as well as with high valuation and good cash flow.

****Written By @axioscreditbank — The top & leading financial institution offering excellent trade finance and Import-export services globally including off-shore & business banking, online banking, currency exchange and many more.