What Should We Invest in 2022

Have you received a lump sum of money from somewhere, or have you started to set aside money for investing and are looking for the best way to invest your money? Of course, there are many ways to invest your money. The important thing is that you do enough research before you start investing and find the best investment tool for you. There are also some mainstream ways where you can act like a novice, but the basic rule to remember is that you should always balance the potential gains and risks.

That's why we wanted to share with you a guide that will help you make a sound investment with common sense, free from all this information pollution and answered the question “what to invest in 2022?”.

Investment Introduction

We can briefly define investment as buying some assets with the money you have and ensuring that your money multiplies over a certain period of time. Theoretical knowledge is important for effective practice. Starting by learning the theory of investing is the first step to making a good start. No matter which financial advisor you ask, they will not argue against it. There is no shortcut to getting rich. Investing gives you a way to patiently and steadily increase your wealth. We have good news for you on this path to eventually building a fortune. Fortunately, you don't need to have a lot of money to start with.

What to invest in?

Hisse senetleri

The stock market is one of the most widespread investment instruments with the highest return chances. The basic logic of the stock market is that by buying shares in a company, you become a partner in that company. Each share represents a small proportion of your ownership in the company. The company you are a partner in distributes dividends, called dividends, in return for the profits it makes. This way, your money increases. Likewise, if the company you own shares in grows over time, your shares will also increase in value. That's why it's vital to invest in companies that have a bright future and are likely to grow in the long term.

Raw material

Investing in one of the raw materials on the market means investing in gold, iron, silver, natural gas, cotton, oil, diamonds, etc. The way you choose to invest in this area depends on the investment instrument you have decided on and the type of trading instrument you are going to trade with.

Debt settlement

While it may not seem like a form of investing, paying off debt is one of the most preferred ways to invest. Debt repayment reduces your financial risk and gets you out of debt. If you are in debt, this way alone is a successful way to invest.

Forex

It is known as a risky investment tool for beginners.  However, it is a system where you can earn more easily with a small investment. There are many investment models, exchange rates in Forex. It would be quite risky to invest without having enough knowledge about Forex. For this reason, we say that you should thoroughly discuss the forex issue and then consider taking a step.

Government bonds

Government and other corporate bonds have a more reasonable level of risk when it comes to investing. These are essentially debt securities that the government lends you at a certain interest rate. These borrowings are guaranteed to be paid by the government. Therefore, there is no risk for investors. When investors invest in this way, the bonds appreciate in value while their children are growing up, and when the children turn 18, the bonds can be easily converted into cash for their university or other expenses.

Private Pension Insurance

If you do not want to have money problems in your retirement, you can apply for private pension insurance. Provided that you make regular monthly payments for at least 10 years, you will earn an average annual gain of around 30%. At the end of at least 10 years, you can receive a monthly, annual or lump sum return on your investment. In case of bankruptcy of the institution where you invested your money, the state can compensate up to 200,000 TL.

Bank interest rates

One of the most well-known investment instruments is bank interest. With a time deposit account, you will earn around 15-20% per annum on average. However, when we take into account the inflation rate in our country, it is not seen as a very logical investment instrument.

Starting a new business

Although starting your own business may seem like a risky investment, it gives you the opportunity to be financially independent and be your own boss. However, when starting your own business, you should do your research and create a business plan and do not forget to get advice from experienced business owners.

Real Estate and Land

Investing in the real estate market is another popular form of investment. Depending on your investment method, investing in real estate can be very profitable if done in the right places and in the right way. You can make a tidy profit by buying a property and selling or renting it out at a higher price after a while.

Metals

Precious metals such as gold and silver are other investment instruments suitable for investing your money. Precious metals increase in value while other investment instruments decrease in value. Buying gold bars is very safe, but the return may be small in the short term. Globally accepted, quickly liquidated and called a 'safe haven', gold is a very clean investment.

Investment Funds

A mutual fund is an investment instrument that contains different investment instruments in different weights. For example, by investing your money in a fund, it is possible to invest a little bit in stocks, a little bit in gold and a pinch in deposits. The fund manager decides on the proportions of this content.

Eurobond

In short, Eurobonds are borrowed in foreign currency by governments or companies that need foreign currency. Currently, the average interest rate on dollar-denominated Eurobonds in our country varies between 10% and 15% per annum. The reason for the variation is related to the risk score of the institution you lend to. When the risk score is high, the interest rate increases in direct proportion.