Philadelphia, PA - People who appreciate art or collect something have a chance of becoming fabulously wealthy. What is more profitable to open a long-term deposit in a bank, buy land on the Moon, or become the owner of a piece of art? Even if you already have a bank deposit or Coca-Cola shares, you can learn some lessons of uncommon types of money investments from risk-takers.
9 Types of Money Investments for Risk-Takers
1) Non-fungible tokens (NFT)
The segment of non-fungible tokens (NFT) is of particular interest for investments now. According to the NonFungible.com platform, the trading volumes of the NFT market are about $1.5 billion. It is worth emphasizing that the indicator grew by 42.75% compared to the same period last year. Also, 2021 was marked by an ever-growing list of celebrities who released NFT: this is Mike Tyson, Pokras Lampas, Till Lindemann, and others. So, if you suddenly won a large amount of money on Verajohn, you can invest in NFT to increase your capital.
The collection of premium wine has become a trend of the last decade. Its value in the period from 2000 to 2009 grew faster than the shares of oil companies, real estate, and works of art. For example, the price for 12 bottles of Lafite Rothschild from Bordeaux province, offered on the Liv-Ex electronic exchange, increased by 900%. Meanwhile, during the same time, gold has increased in price by only 300%, shares of American Tobacco — by 454%. Over the past decade, the turnover of the world wine market has tripled up to $3 billion.
3) Branded items
Among the unusual investment options for those who have already tested all the standard investment mechanisms could be luxury collectible bags. For example, the auction price for such rare Hermes Birkin brand pieces can reach several hundred thousand pounds. The most expensive Birkin bag was sold at Christie’s auction in Hong Kong for £237 thousand. In addition to the luxurious quality of materials, this is, in fact, similar to contemporary art objects. Among celebrities, it is very prestigious to have such an exclusive thing with history.
4) Art objects
Investments in art objects and collectibles (stamps, books, money, paintings, art objects, exclusive jewelry, cars, antiques) — are one of the most luxurious and romantic ways to raise capital. There are two problems: the first is that it is very expensive to acquire such things, the second is an extremely illiquid investment, and it is extremely difficult to find a buyer for the collection.
5) Banknotes and coins
Bonistics — investments in banknotes — are now the most popular topic. Investments here can bring up to 200% per year. Numismatics — investing in rare, valuable coins — is also a popular trend at the moment, especially when it comes to gold coins. The liquidity in the market is quite good, and there is a constant increase in value. If the task is to invest free money for five and preferably ten years or more, then these two directions are the best. Coins and banknotes do not require a lot of space, and they always grow in price.
Bloomberg called the purchase of music rights one of the best alternative investments of 2021. Investing directly in the music of show business legends is difficult and expensive. But Bloomberg offers a “budget” option — to buy cheap shares of funds that have rights, or to support promising performers in exchange for royalties. The Economist views them as an investment asset for stable passive income. Investors in the US have already assessed their attractiveness: the amount of transactions on one of the US stock exchanges for the sale of royalty music since 2016 exceeded $75 million, 25 of which went through the exchange in 2019. The return on investors can be 26% per annum.
For investment in antiques, it is profitable to buy things for many years. The more years an object is, the higher its value. For example, if Picasso’s painting “Boy with a Pipe” cost $30,000 in 1952, then 52 years later, in 2004, it cost $104 million. The antiques are related to:
- household items;
- porcelain, etc.
Antiques are items that are more than 50 years old. For the state, such things are also of historical interest.
Investing in domains — cybersquatting — this name was given to the purchase of “beautiful” domain names for subsequent sale. The cost of a domain at auctions can reach tens and hundreds of thousands of dollars. At the same time, the purchase costs almost nothing — from 1 to 50 dollars.
The most expensive domain in history was www.sex.com, sold in 2010 by the investment company Escom LLC to its competitors, Clover Holdings LTD. Both companies are the largest cybersquatters in the world, so it shouldn’t be surprising that Clover will sell it in a couple of years for $20-30 million. Also, on the list of the most expensive domains are www.investing.com, www.diamond.com, and www.slot.com.
9) Investing in yourself
Investing in your health, education, appearance, and personal development are the safest investment options — after all, becoming the best version of yourself, will not only change the quality and perception of life, but you will also be able to earn more. So, the founder of the famous auto concern Henry Ford spent his first serious money on an expensive suit to seem presentable in the eyes of partners and employers. You can acquire and read books, get additional education, exercise in the gym, change eating habits, etc. There is only one risk — your laziness and inability to use your potential.
There are several areas and things that are not worth investing in, since such an investment is essentially just a purchase and will not bring any added value, and in some cases will also entail costs. Avoid investing in serial jewelry, automobiles, equipment, gaming items, etc. Following these tips, you will end with a good profit in your pocket! Good luck!