I have a net worth of $40 Million. This is my most recent post where I cover my most important financial metrics along with my biggest personal goals.
If you are looking to increase your net worth and have the courage to do it, you can start with a simple one-time investment. This has the great benefit of making you feel rich in the short term. But, like all investments, it also takes a long time and requires a lot of discipline to achieve your desired goal.
As a starting point, you want to invest at least 10% of your net worth in stocks. This is because stocks have a lot of fluctuation over time. Over a 10-year span, you’ll find that the value of your stocks will continue to fluctuate. If you can plan your investment around this fluctuation, you’ll get a nice steady stream of income over time.
What you can do is to get a broad selection of stocks. This could be by searching for companies on a site like Yahoo! Finance or even by going to companies in your target market. In general, you can look for companies that pay dividends. Companies that pay dividends are generally the best for you to invest because they tend to grow even faster than stocks.
Another way to get some return is to buy a mutual fund. The best mutual funds have a high level of diversification and tend to grow at a faster rate than other types of investments.
To learn more about investing in mutual funds, check out our Mutual Fund 101 video.
Another way to get some return is to buy a real estate investment trust (REIT). A REIT is a type of mutual fund that invests in real estate. A REIT has the advantage of not having to have a lot of assets in it as it tends to do better than other types of mutual funds.
It’s worth noting that mutual funds tend to have a higher price tag than other types of funds (and also tend to be lower paying of the bottom line). The best way to get a better price is to buy a mutual fund.
You can’t just buy a real estate investment trust REIT.