Investing is important to increase your wealth!

Many people tend to link investments in the stock market with a high level of associated risk, which must necessarily be assumed in order to participate in the stock market. In general, the “hype” with which Hollywood cinema often shows the financial markets (in films like “The Wolf of Wall Street” or “Rougue Trader”), contributes to this collective idea, linking them much more with the market of high-risk stocks or derivatives.

This generates especially in countries with less financial culture where a large percentage of the population with savings capacity or with balances available to invest, avoid entering the capital markets, turning to the dollar or fixed term loans. You simply can’t invest in bonds if you do not understand what you are headed for. That is why we recommend you click here to learn more about bonds.  

However, in the market not everything is desperate: traders running from one side to the other, or investors becoming millionaires in one day or melting their accounts overnight happen often. The bond market offers a series of advantages that benefit from savers without any knowledge of the stock market to sophisticated investors. 

Unlike investing in shares, where the return for the investor depends largely on the price at which the share can be sold in the future, the bonds have a payment schedule stipulated at the time of their issuance, with which the issuer must comply periodically, and to which the investor has access, obtaining a predictability on when, how much and in which currency the payment will be available. 

Although the bonds are traded daily in the markets, the investor knows in advance the return that he will obtain from holding the title until its maturity date for example: 

The bonds have two sources of income for the investor: the periodic income provided by the bond and capital appreciation (if the bond is acquired below par). For example: an investor who buys a 10-year bond at $80 for every $100 of face value, with a coupon of 10 percent with semi-annual payments will obtain the following flow of payments: 20 coupons of $5 (one every 6 months) and at the end you will receive the $100 face value, earning a $20 capital gain. If you like what you read, there are other bond investment strategies that might make you a smart investor, like surety bond that will take care of you. 

If you are not looking outside the bond market, no problem, the cannabis market has a lot of potential as well. There are a variety of companies specializing in different kinds of products related to cannabis, so click here for more info. The three main categories of actions of marijuana belong to:

Producers: are the companies that grow, sell and distribute cannabis to consumers and businesses. Due to legal restrictions, US-based producers are not the main players in this category. However, US growers have gained some notoriety since the product was legalized.

Biotechnology: these companies are dedicated to the research and development of new products. Although they do not always work with the plant, but with synthetic forms of the compounds present in it, biotechnology companies are included within the sector.

Suppliers: These companies do not grow or develop marijuana or related products, but provide the tools and materials necessary for growing marijuana, such as lighting systems, hydroponics, specific soil for cultivation and fertilizers.

With these investments rest assured that your financial backbone will grow over the short and long term, in order to increase your prosperity to become a wealthy individual.

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