Finding a good high yield investment requires a fair amount of diligent research as well as the need to exhibit some risk taking behaviour. The returns on all investments are governed by the amount of risk involved. If an investor has to take a greater risk with his capital, he expects a higher return for his trouble. Savings accounts are considered a very safe place to put your money, but there’s a reason that interest rates on savings are so low. There is almost no risk whatsoever to the investor. If you are looking for a high yield investment to give you big returns, then you are going to have to take some risks and that risk is losing money.

High yield = Greater risk of losing your money

Low yield = Zero or low risk of losing your money

The investor wishing to invest in stocks and shares will be able to find the whole spectrum of risks/rewards available. From blue chip stocks with reliable track records and small but regular returns, to penny stocks with no track record or guarantees, but the potential to realise fortunes.

It is the responsibility of each investor to take stock of his own situation and to decide how much he can afford to invest, what his attitude is to risk and what his ultimate financial goals are. The age of the investor makes a difference too. Younger people have more time to play with and can afford to invest in longer term high yield investment products. These products may carry more risk, but young people have plenty of time to make up for any losses. At the other end of the scale, older people who may be looking forward to retirement, need more security. At this stage of the game the thought of losing all of your money would be a calamity and it is worth taking a lower return in order to have more security.

It is impossible to accurately define what is meant by high yields. Generally it is considered to be something that provides better returns than a standard savings account or bond. There are many offers of high yield investments advertised across the media, not least across the internet. One of the problems with finding a high yield investment is mirrored in the old but true adage “If it sounds too good to be true, it probably is”. Whilst this is true, if everybody acted upon it, nobody would be realising high yields on their investments. And that’s obviously not the case.

High yield investments do exist, but must be approached with the utmost care. Question everything in great detail, and pay attention to the wording of the answers. Ask yourself how the investment generates its yields, ask what factors might affect the value of the yields, and ask what could go wrong. Remember when analysing the response to these questions, that the investment cannot be risk free, there is no such thing as a risk free high yield investment. Only when you are totally satisfied with the answers, and you are comfortable with the level of risk involved, should you proceed with the investment.

Alternative investments

Overseas property

High growth investments

Ethical investments

African investment

High return investments

Green investments

Brazil property

Long term investments

Classic car investments

Caribbean property

Offshore investments

Diamond investment

Cyprus property

Retirement investments

Gold investment

Florida property

Short term investments

Hotel room investment

Turkey property

High growth investments

Student accommodation

 

 

Whisky investment

 

 

Wine investment