High Return Investments

When people try to visualize successful investing they always think of turning $1000 dollars into millions. What they don't realize is that most investments of this kind never work out. Research shows that the only way to receive returns of that magnitude, you'd have to pick a stock costing pennies and sell it when it has reached dollars. Penny stocks are an extremely dangerous and volatile kind of investing and not covered in this article.

When choosing a high return investment people always think of one thing, the increasing value of what they have purchased. Buying something low and selling it high is called value investing. Value investing has become a hybrid of conservative and wall street speculation to help build a solid portfolio. The newest wave of investing that has weathered the dot-com boom and the recent recession is the Passive Income investment technique.

People that truly achieve high return investments are those that concentrate on these factors; dividends, micro loans with high yield and prudent permanent stock purchases.

If you can successfully choose a stock that is gaining at 5% a year but pays a 5% dividend then you have clearly beat the market average by having a gain of 10%. There are many people on the internet that have realized that the status quo of investing and hoping for just the value to rise are outdated.

There are non professional investors using passive income techniques that allow them to build a portfolio of high return investment built on set it and forget it principles. Search Google for a micro loan website and you'll understand what I mean. There are many companies out there that will match lenders and third world business people for loans.

Another popular form of a high return investment is the Utility ETF. The utility etf is an exchange traded fund based upon industries that people depend on to live. How comfortable are you with investing in your water company? I thought so. Utility ETFs have slipped by through the past 30 years but now are making a comeback because they were unfazed by the recession. Even during the recession they still continued to pay out their dividends.

All high return investments are directly tied to the explosive growth of people. Find something that people will always need and invest in that. Investing in things like electricity or water is on of the easiest concepts. Utilities doesn't sound as glamorous as picking out the next Microsoft but it is more stable and is considered passive income if it pays out a good dividend.

Here is a recap of a few High Return Investment Options:

Micro Loans


Utility ETFs

Water Companies

Power Companies