How to get High Yield Investments out of your Money?

How to get High Yield Investments out of your Money?

Introduction. Currently, bond yields are low, bank savings and CD rates are extremely low, and the stock market is swinging violently! These conditions raise questions as to what to do with investment money.

The time value of money is based on the premise that an investor prefers to receive a payment of a fixed amount of money today, rather than an equal amount in the future, all else being equal. Considering that the cost of printing paper money is minimal, the federal government makes an enormous windfall profit whenever it places new bills in circulation and therefore tends to keep up this practice. This leads to inflation which erodes investors' returns. With today's interest rates and inflation, which is higher than reported by the CPI, investing may result in loss of buying power rather than a net increase. Under these circumstances you might wonder---What is the best thing to do with my money?

First let's look at the definition of money. Money is a tool to accomplish things and as a convenient method for exchange. Money only makes sense when there are people available for production, and goods and services are actually produced. Most people worry about how much money they have and how they can get more rather than thinking about what money is. If one hides his money in a mattress it does nothing for the economy. It is much better to put money to work where it can do good and return profit for the investor.

Money In The Bank? For me real investing is putting your money to work, not handing it over to a bank to earn them profits in return for locking it away from you. Many savers could be missing out on higher interest payments because they have no idea what their money is earning or how their account compares with others. When your money is in a bank account or CD, it is not being used effectively and probably netting you a loss due to inflation. The best way to maximize the power of your money is to place it where it can do a lot of good work and return a high interest rate. As we discussed above, investing money is putting it to work for you instead of you having to work. Well, if the Bank is not such a good place for your money, what about Bonds?

Should you put your money in bonds? Currently bond rates are only around 5%. After inflation a 5% bond return is actually losing money in terms of buying power. So, if you tie your money up in bonds for a time and then get it and the interest payment back the total amount has less buying power than before you invested. You need to have your money where it earns more than the real inflation rate in order for you to be ahead. Can the Stock Market do it?
Should you put your investment money in the Stock Market? Current stock market violent ups and downs could drive you crazy. Recent market fluctuations have been up 300 one day and down 360 the next day. Such volatility means higher risk. Active traders are forced to stay glued to their computer screens, experiencing higher than normal stress, and feeling like they are being controlled. Some other investment methods are less volatile therefore reducing your need to worry about returns and to watch every day. What's a good way to put your money to work?

How can you effectively put your money to work? People of means don't want to continue working so they learn to put their money to work for them. Having your money work for you can earn you a profit every month without any personal work by you - so consider putting your money to work effectively. If you put your money to work expect it to earn a good wage, a good return, not just bank rates. Give your money respect; put your money to work in the most effective way, by applying it in high-interest accounts. By now you are probably asking where these accounts are!

Factors are lining up which present opportunities for putting money to work at higher yields. Most people have heard of the current turmoil in the mortgage lending business. Turmoil breads opportunity, all you need is to know where to look. The problems in the mortgage industry have resulted in lending institutions tightening up their lending practices. Consequently, developers are willing to pay higher rates for less red tape; that is private money. For example, when a developer uses an investor's money he uses it to create valuable new real estate or increase the value of existing real estate. In the process he makes a good profit and wants to share some of that profit in the form of interest payments with his investors that provide the funds.

Conclusion. If money is important to you, then you need to partner with a company that treats your money and your return as important. As the right user of your money, a developer can make it a root of all good in constructive ways in community development. A developer's loan fund allows investors to put their money to work in community development for a defined period of time. For example, our company puts investor's money to work helping community development in metropolitan Baltimore and we give our investors an extremely good monthly return. We allow investors to place their money in our project fund for an extended period so that they can plan on a high return over that period. We typically roll an investor's money over from one project to another thus re-using the funds and providing a continuous return to the investor for as long as he wishes. Currently we are re-habilitating 10 to 15 properties per month thus providing neighborhood improvement, great new places for people to live, and a high return for our investor partners. We offer a free prospectus so you can see what we do.