Published on August 13th, 2015 | by Day Trader
3 Incredible Investment Opportunities to Ensure Your Future Financial Success
Many people seem to think that investing in things like Apple or Nike is the guaranteed path to financial future in your later years. The truth is, stocks like this have probably already reached their pinnacle, and they’re too expensive to make a good profit on.
Investing in smaller stocks with better potential is usually the best way to grow your financial nest egg. There are tons of stock market research tools available to you that will help you find a small company that is on the brink of breaking the bank. Here are three great investment opportunities to consider if you’re just starting to build your portfolio:
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Microcap investing: Microcap stocks, or small-cap stocks, belong to publicly-traded companies with between $50 million and $300 million in market capitalization. From 1926 to 2001, these stocks returned an average of 12.27% to investors, making them highly-sought investment opportunities. Microcap investing is a great place to start to build your portfolio and see how the market really works.
Penny stocks: Penny stocks are technically microcap equities, but the term refers to any stock that is traded below $5 and is not listed on a national exchange. They are usually nanocap stocks, or stocks that belong to a corporation with less than $50 million of market capitalization. Penny stocks can be very volatile but come with a cheap price tag that allows you to spread out your investments in multiple companies.
Interest-paying securities: There are over 9,000 publicly-traded securities in the U.S., so finding one that is thriving should not be difficult. Securities pay interests and dividends and come in many forms, from mortgage securities to bonds, also known as debt securities.
It is important to know who you can trust when it comes to securing your financial future. Falsifying investor information is a common scam that can negate any gains you may see in your portfolio. Make sure you seek the help of an informed professional to figure out the best investment opportunities for you.