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Local Market Launch

Local Market Launch

December 16, 2019 Finance

Choosing Different Kinds of Goals for Different Kinds of Investments

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Not every kind of investment is the same. You’ll have different reasons for choosing different pathways to try to make money. But rather than approaching that concept from a theoretical perspective, think about it concretely. What goals do you want to match with what kinds of investments? It may seem like a very simple question, but there’s a lot that goes into it.

Think of three goals and styles of investment that may coincide in specific and differentiated ways. You can invest in property – but is it a property that you live in or just property that you own? Then there is the potential for investing in vehicles. Is this a personal vehicle that you drive, or are you perhaps investing in a vehicle as a way to perform a professional service?

And third, think about investing in your education. You’re paying a lot of money to an academic institution as an investment in yourself, expecting that the return will be a higher paying job or more opportunities. These are all different ways to think about where to put your money and why.

Property

If you plan on investing in property, there are two major perspectives that you can follow. One is that you are investing in a property that you will be living in. As an example, it may be that you want to buy a house so that your family has a beautiful place to live, and you plan on selling it down the road.

The other thing to think about is if you invest in a house that you own for a different reason. Perhaps you will be renting it out, or maybe you intend on flipping it. Or perhaps you expect the value to appreciate on its own. All of these are valid points to ponder when deciding whether to invest in real estate or not.

Vehicles

Investing in a vehicle has a similar differentiation between potential. For example, it might be smart to spend just a small amount of money on your car if it’s just getting you back and forth to work. That way, you are saving money by not putting cash into something expensive where that expense does not match its practical value. On the other hand, perhaps you want to restore a classic car, and your investment comes from that perspective.

Education

Then there is the idea of investing in your education. College is expensive! However, statistics show that if you make it through the academic gauntlet, you have many more opportunities to get better-paying jobs. So this is a big chance for you to think about how investing works on a long-term basis in the context of your greater life.

 

Categories: Finance

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Welcome to Local Market Launch - We are Liz Beaker and Smith Johnson and our website is your one-stop-shop for everything business, marketing and finance related. You can just be starting out, or have had a business for years. We are here to share the most cutting edge, relevant and modern tips for growth, profit and sustainability. 

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