6 Profitable ideas to Invest your money in the United States
If you are Hispanic, you reside in the USA and you want to build your wealth, or diversify your sources of income, you need to ask yourself where to invest money in the United States.
The immigrants who live in this country also fantasize about the American dream and long for a better quality of life.
Fortunately, the Hispanic population in the United States is increasingly financially informed, which allows them to make more strategic and intelligent decisions with their money.
Profitable investments in the USA for Hispanics
What to invest money in in the United States if you are Hispanic? If you have that question in mind, the first thing we should do is congratulate you.
That is the first step you must take to improve your personal finances, or give a positive turn to your current relationship with money.
If you do not know what are the best investment strategies that you should execute on American soil, being Hispanic, it is best that you contact a financial expert.
Another interesting fact that you should know is that 90% of Latinos who invest in the US are successful as franchisees. (According to the International Franchise Association).
But you can also succeed with low capital investments and in this little guide we will explain what are the best options on the market.
What to invest money in in the United States?
Today we will tell you what to invest money in in the United States if you are Hispanic and do not have high capital at the moment:
1. Shares of US companies
If you think that you will only earn money by making large investments, buying homes or acquiring the rights to a franchise, you are very wrong.
There are investment alternatives that are lucrative and do not require exorbitant capital. Buying shares of US companies is just one of them.
In fact, this option is one of the most recommended by financial advisors. But the key right now lies in investing in US companies that offer long-term returns.
If you invest short term you could make a dramatic mistake. Do not forget that the world could enter a recession in the next few months and that this could have a negative impact on the value of the shares.
Also, you should know that there is no maximum amount, such as authorized capital of any company, to acquire shares.
This offers you the possibility of participating in the stock market without shelling out millions, which is practical, functional and versatile.
2. Treasury Bonds
If you are wondering where to invest money in the United States, Treasury Bonds could be a good option.
These financial instruments represent a debt from the US Treasury Department, and although they do not normally generate high interest, in recent months things have changed.
As the Federal Reserve (FED) has raised interest rates multiple times so far this year, Treasury yields have been adjusted upward.
Consequently, they can pay around 4% per year, and once again it must be said that you should not make millionaire investments to acquire these debt instruments.
Experts recommend investing in debt securities of companies with a low credit rating, such as the so-called “high yield bonds” or “high yield bonds”.
This is because the return they offer is higher, since they have a lower credit rating than other bonds available in the investment portfolio.
On the other hand, bonds represent low-risk investments and are also predictable income.
In parallel, you could invest in “i-bonds”. These bonds will help protect you against inflation and the best thing is that they pay more than 9% per year.
3. Mutual funds
Hispanics wondering where to invest money in the United States need to familiarize themselves with mutual funds.
These tools are provided by both financial institutions and banks, and are concentrated in an investment portfolio.
The easiest way to understand mutual funds is this: a group of people give money to a management company to take care of the investment methods.
In exchange, the participants obtain a profit by way of revaluation. The most attractive thing about mutual funds is that they can be adapted to the level of risk of each investor.
That is, you can decide if you want to put money in low, medium or high risk investments. And as for the return, it should be mentioned that it can be absolute or relative, (depending on the approach made by the bank).
But the truth is that in these moments of economic uncertainty you should not aim too high, because you could be very disappointed.
4. Index funds
Another viable option is to invest in index funds. These can bring you closer to financial independence and are widely known to represent passively managed investments.
This means you can focus on other investments, ventures or businesses, and let the index funds work for you on autopilot.
You can buy these investment instruments in the secondary market, and if you wonder which are the most recognized, those of Vanguard or Fidelity should be mentioned.
Also, since these funds track investment indexes with a global reach, your diversification opportunities are truly extensive.
5. Personal loans
If you are thinking about what to invest money in the United States without running a high risk, you should consider Peer to Peer personal loans, (P2P), or person to person.
Currently, there are very safe, transparent and reliable platforms to make this type of investment. (One of the most famous in the USA is Lending Club).
Through them, the two interested parties are connected: both those who seek to lend money, and those who need to receive it.
If you are Hispanic and do not have much experience as an investor in the US, this option may fit you like a glove.
Crowdlending allows you to act as a lender, in order to receive a certain return or interest.
Specifically, the perceived gain will depend on the capital lent through these platforms. But the most interesting part is that the risk of default is practically negligible.
So, instead of having your money in a bank account, you can put it in motion as P2P loans and thus you will receive a greater benefit.
It should also be noted that the liquidity of investments made via crowdlending is very favourable.
6. Own business
You don’t need six or seven figures to start your own business in the United States as a Hispanic.
On the contrary, you can successfully start a business without incurring debt or financial setbacks, as long as you make the right decisions.
In case you don’t know, this country is a paradise for Spanish-speaking investors, since it offers them great micro and macroeconomic strength.
Additionally, entry tickets are low and the country offers great legal and social security.
Profitable businesses with low investment in the United States
Food, cleaning and gardening businesses top the list of Hispanic ventures on US soil.
If you do not have a large capital, but you are determined to invest your money in your own company or business, you need special advice.
In general, you should know that the businesses that could benefit you the most, given your current economic situation, are those that you can start from home and on a small scale.
As fanciful as it sounds, you don’t need $100,000 to start a startup that will bring you six figures a year.
Starting from scratch in the United States in business or entrepreneurship, (being Hispanic), could bring you closer to your financial freedom. And in fact, there are already many success stories.
Invest in the United States with confidence
What to invest money in in the United States? If you are Hispanic and want to diversify your sources of income, increase your wealth or have more financial abundance, you need to ask yourself that question.
Fortunately, we have just shared some investment ideas with which you could start from scratch successfully.
Similarly, you can contact an expert and receive personalized investment advice. So you could feel more confident and not risk your money in vain.
Finally, remember that you do not need to make millionaire disbursements to become an investor on American soil, and that money frozen in a bank account will never bring you closer to your financial independence.