what are the legitimate investment platforms?

10 legitimate investment platforms to grow your money

 

Online investments are one of the most appealing ways to grow your money, so long as you’re doing it in a safe and legitimate way.

With an array of options available, though, it can be difficult to determine which ones are trustworthy and which ones are just out to take your money.

This list of ten legitimate investment platforms will help you find investment opportunities that put your earnings at but will also give you the potential to make big gains over time.

 

1) Banks

With their services tailored specifically for large institutions, banks are not a good option for smaller investors looking to invest their savings.

Most banks provide little more than simply checking and savings accounts but do not make any effort to offer additional services designed for people with extra capital. In addition, banks have plenty of annoying paperwork that you need in order to open an account.

If you’re just looking for a safe place to keep your money, skip right past these guys; there are other options out there that will give you better service without all of those pesky rules.

 

2) Other common ways to invest

A newer alternative, peer-to-peer (P2P) lending connects individual investors with borrowers. The idea is that individuals can make small investments into a loan and, if it performs well, make a return in excess of what they paid.

In the same way, you might have a savings account at your bank, P2P lending accounts are held at online platforms like Lending Club or Prosper. Individuals fund their accounts with an initial deposit and then search for loans based on interest rates and payback terms.

 

3) Investment clubs

When you put aside some of your hard-earned cash to invest, it’s important that you learn as much as possible about how that money is being handled.

A mutual fund (which is basically a large pool of investors who pool their funds together and hire professionals to manage those funds) might be a great way for you to invest if you don’t have time or interest in doing so yourself.

Other types of investments are less common but may be worth checking out, including peer-to-peer lending networks, high-yield savings accounts, and microloans. Just make sure any platform (and its fees) are legitimate before you sign up!

 

4) Financial advisors

A professional financial advisor can help you create and manage a long-term plan for growing your wealth, minimizing, and reaching goals. Financial advisors specialize in areas such as retirement planning, estate planning, insurance planning, and more.

Working with a financial advisor can give you peace of mind knowing that someone has an expert eye on your portfolio -- taking care of all of those pesky details you don't have time for (or really even know how to begin thinking about).

Also, financial advisors are typically required by law to follow a fiduciary standard—meaning they're legally bound to act in their client's best interests.

 

5) Investment funds

Mutual funds can invest in hundreds of companies at once. If you're looking for quick and easy diversification, look no further than mutual funds.

You won't be able to choose specific stocks, but if you're interested in broad exposure (and don't have a lot of capital) they could be a great way to start investing. Also, although these investments can come with higher fees than those listed below, some may charge no up-front fees.

 

6) Online marketplaces

Crowdfunding sites, like Kickstarter or GoFundMe, help business owners or nonprofits raise money for a new product or project.

On some crowdfunding sites, if you don’t reach your goal by a certain date, you don’t get any of the funds raised. While these platforms can be successful, they are not regulated and there is no guarantee that you will receive what you donate.

For example, there have been cases where people donated $25 to receive an album and never received it after a band failed to release it on time.

 

7) Crowdfunding sites

Crowdfunding sites, like Kickstarter and Indiegogo, are some of the most popular choices for people looking to raise money for a new product. More and more individuals turn to crowdfunding when they need help getting started.

There are many different types of campaigns you can create: reward-based (where backers receive something in return for their contributions), donation-based (where backers give without receiving anything), equity-based (where backers receive ownership rights or partial ownership in return).

 

8) Peer-to-peer lending sites

if you're looking for alternatives to traditional investments such as stocks, bonds, or mutual funds, cryptocurrencies could be a good fit.

This new asset class is growing in popularity thanks to its unique nature and ease of trading. However, due diligence is essential before you invest in anything: make sure you understand exactly what you're investing in and that it's within your means.

There are currently hundreds of cryptocurrencies on offer, so take time to learn about each one before putting your money into anything.

9) Cryptocurrency exchanges and wallets

An exchange is a website that facilitates buying, selling, and exchanging cryptocurrencies. Wallets are used to store cryptocurrencies securely. It’s a simple setup for beginning cryptocurrency users but can be confusing for those newbies just starting out.

There are different types of wallets depending on what you’re looking for and how you plan on using cryptocurrencies in general. Let’s take a look at some common exchanges and wallets used by investors, as well as some tips on choosing one over another.

 

10) Cryptocurrencies

The most popular new form of currency, cryptocurrencies like Bitcoin are high, speculative bets. There’s no way to know for sure if they’ll take off, but if you believe in their value as an asset class and think it may be part of your portfolio strategy, there’s nothing wrong with letting some money ride on that belief.

Cryptocurrencies aren’t guaranteed by governments or banks, so all of your eggs are in one basket with them—but that also means it would be extremely hard for any bad news about them to affect you financially. If a digital currency becomes popular enough to become accepted as a global medium of exchange, investors who were early adopters stand to reap huge rewards.

 

Conclusion

There is a lot of opportunity for people looking to diversify their portfolios, find some healthy growth, and earn some extra cash through investing. It might take a bit of research and homework on your part, but before you know it you’ll be an expert in 10 different legitimate investment opportunities.

And don’t forget: if you're looking for short-term gains (or losses), stay away from investments that require minimum deposits or lock up too much of your funds. But more than anything else? Make sure any platform you use is secure and reputable.

If something sounds too good to be true, it probably is—and if something sounds too bad to be true, it probably isn't! Happy investing!