Investment markets, whether public or private, are coming back to health having taken a big hit during the 2008-2009 financial crisis and the subsequent global recession. Not only are businesses once again looking at investment markets as a way to expand their reach and grow their profits, individuals, with mistrust of the banking system still clear for all to see, are also looking at how investment might be a better option than traditional personal solutions such as savings accounts.
One of the main changes in the investment world in recent years has been how various online platforms like Prequin and DealMarket have made it easy to find information and the best deals available.
Here are four top tips that will help you seek out the most lucrative investments available.
Know What You Want
Although you will be able to place your money with a private equity company and allow them to deal with your investments for you, it is worth having some idea of where you want to invest before you part with your capital, particularly if it is a large sum you’re planning to put in.
You might target industries that you have worked in during your career or ones that you know tend to offer the most lucrative opportunities. Another option is to look at initiatives close to your heart, such as the environment or medical research.
Following your gut instinct and what you think to be true works more than most will have you believe, so don’t be scared of knowing what you want from an investment.
Find an Investment Expert
Talk to a finance expert – there are many that are available to talk to online through their social profiles – and get an idea of what the state of the financial world is right now. Whether you talk to the CEO of a firm such as Brett Lankester or choose a London City company and speak to a junior investor, you’ll pick up some great advice and have a good idea of the type of investment you want to make.
Find a Firm You Love
The point here is to find the right type of firm depending on your personal financial objectives. What exactly do you want to achieve and who will be the right company to help you do that? For example, a private equity fund will simply take your money and invest it, while a wealth management firm like ACPI Investments could well prove to be a better option if you want other aspects of your financial affairs to be managed, too.
There’s no right or wrong answer, but a firm should be chosen in line with what you want. If the investment expert you’ve spoken to is also linked with a notable company or fund, that can be an easy solution.
Not a technical point related to investing, but patience is perhaps the biggest thing you need. You aren’t going to make a fortune overnight, and seasoned finance professionals will tell you this openly and honestly. Remember that the shortest term investments tend to be three to five years, with seven the average and investment periods of much longer not uncommon!
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Janice Degg enjoys keeping up with the financial markets and is looking for a solution for investing a portion of her savings. She is hoping to grow her personal retirement fund so she can emigrate to Australia in the next three years.