Increase your personal prosperity this year by making smart investments that provide excellent short and long-term returns. Simply switch your savings accounts to ones with higher interest but still offer access to funds, and invest in the right dividends to boost your long-term savings. Read on for the best ways to invest your money this year and strengthen investment returns.
Savings Accounts
If you want to unlock your personal prosperity this year, then park your money in a high-yield savings account. Unlike a conventional savings account, high-yield accounts offer a higher rate of interest but still keep your cash liquid, allowing you to access it whenever it’s convenient.
However, there is a downside; unfortunately, savings accounts don’t follow inflation rates, so your percentage rate won’t rise; that said, the rates you get are higher overall; you can also increase your personal prosperity with lifestyle changes like pay-per-use car insurance.
Certificates of Deposits
If you have a chunk of cash that you don’t need ready access to, you might be better off with a certificate of deposit. This is a form of savings account issued by backs; they offer high-interest rates such as 1.25%, but it’s an investment, and you can’t access money without a penalty.
If you’re interested in this form of investment, but you also need better access to your cash, there are ways and means. One strategy is to open a range of CoDs at different banks, allowing you to access different accounts at different levels of maturity, giving you access and savings.
I-Bonds
I-Bonds are simply another form of government bond investment; the main difference is that these bonds adjust their interest rate in line with inflation every six months. This increases their savings and investment potential, but there are some downsides to be aware of before you buy.
For one thing, I-Bonds require a $10,000 investment every year, and you have to keep hold of them for five years to benefit from the full amount of interest. However, you can also add an additional $5000 to the bond from your tax refund, allowing you to boost your savings funds.
Index Funds
If you want to diversify your investment portfolio this year and unlock more personal prosperity, consider investing in index funds. Index funds are investments that track various indexes such as the S&P 500 or the NASDAQ 100 and give you plenty of opportunities for excellent returns.
Index funds are a safe and accessible way to invest in the stock market, you can invest in index funds with a small amount of money, and although there is a lot of volatility in the market, this is an excellent and low-risk way to invest in the stock market and boost your retirement funds.
Dividend Stocks
If you’re interested in an investment opportunity that provides short and long-term gains, then consider a dividend stock. Dividends are paid to shareholders annually; they are a reward for investing your money in the company and also increase in value in line with inflation and growth.
(Disclaimer: This content is a partnered post. This material is provided as news and general information. It should not be construed as an endorsement of any investment service. The opinions expressed are the personal views and experience of the author, and no recommendation is made.)