Ideas for Passive income investments
A good way to generate passive income that lasts for a lifetime is by way of investment in lucrative opportunities that have been around for a while and which are still thriving in giving great returns.By and large, investment opportunities may be by way of time, money, knowledge or other resources.
This article looks at various investment opportunities that yield recurring passive income.
Investment in Savings Accounts and Certificates of Deposits-CD
This happens by investing cash fund in savings that yield returns by way of interest rate. Any cash in current account may be moved to Savings Account. Savings accounts give a very minimal interest rate per annum. Cash fund may also be invested in certificate of deposits or otherwise known as term deposits for a stipulated period of time. They are term deposits because period of investment most time may be at monthly interval and thus certificate of deposits may be for 30 days, 60 days, 90 days, 180 days or 360 days. Certificate of deposits command higher minimal rate of returns than savings account. You can approach your financial institution for such investments.
Investment in Treasury Bills, Treasury Notes and Treasury Bonds
These are government Instruments issued to the members of public for a specified period of time. These allow government of a country to borrow money from the members of public to finance some projects or sometimes. Treasury bills are also instruments used by government for liquidity for mopping excess cash out of economy. Any Individual may invest in Treasury bills, Treasury notes or Treasury bonds. Treasury bills mature within a year or less than a year. Treasury notes lifespan is between a year and ten years while Treasury bonds lifespan is between ten and thirty years.
Investment in Stocks
These are long-term investment opportunities. Any individual can invest in company stocks quoted on the stock exchange through a stock broking firm. Stocks are shares of a company made available to members of public and which can be exchanged for cash investment. With passage of time the value of your stocks may increase in value by way of market appreciation or bonus dividends payout. In addition to the market value appreciation, you may also earn cash dividend payout every year as a profit return on your investment.
Investment in real estate
Real estate property investment is one of the oldest form of investments. You may invest in mortgage property for leasing out for purpose of receiving rents on such property. A real estate property may also be resold for capital gains This has always been a good investment opportunities because real estate properties appreciate most time with passage of time.
Investment by granting royalty rights
Another way to earn passive income is by way of income from royalty. If you posses an intellectual property for instance to a book, this book may be released out to an investor for purpose of making money as found on Amazon kindle platform. A given percentage of future income generated from the usage of the book is paid to you by way of royalty as previously agreed.
Investment by way of annuity
Annuity is a financial product sold by a financial institution which may be an insurance company to any of its clients. In annuity, an individual, the client agrees to contribute at once or a regular payment monthly, quarterly, half-yearly or annually towards a lump sum of money (as earlier agreed) for a specific number of years (as earlier agreed) to the financial institution. At the maturity of the annuity, the financial institution pays back in exchange a regular payment for a specified period of time to the client during the client life time or upon death the remaining part of the accrued sum to a beneficiary if the annuity agreement contains such a provision. Annuity is a good retirement plan.
Investment in Online business opportunities
This has constituted a great source of passive income from the inception of e-commerce on the internet. Many online marketers earn persistent growing income month by month by way of investment in online businesses. online business include:
-This is a common trend in online business opportunities. Blogging can be carried out for profit and for great passive income cash returns. Any individual can blog on any areas of human endeavors like advertising, health, wellness, money, web development and a host of others. click here for the list of available areas for blogging and how to start blogging
A great site may be build covering a lot of related areas like hosting, domain name registration and website builders. A great tool for building a great site that transform to an online business is Site build it or biz express WordPress
You can as well create informational products in form of great e books which can be sold directly on your site or it can be sold on third-party sites like Amazon, Lulu and others. Informational products covering health or wellness, how to make money or on relationships have been found to sell greatly on the internet.
Other online businesses
-These include e learning by way of tutorials, online advertising network, web designing and web development, running an online store, domain name registration and/or hosting, affiliates business, online payments processors by way of third-party merchant accounts,
How to invest in an online business
-Investment in online business may involve investing one's time, money and knowledge by do it yourself approach. You can start by learning from a mentor, from free resources or paid resources which can assist you in setting up an online business by way of blogging, site ownership, or setting up an e store. You can follow three important steps: learn it! do it! make the money!
You can as well invest your money by outsourcing major tasks from freelance websites making use of the services of professional to set up your own online business for you. Some freelance websites include: Fiverr.com, Odesk.com, Elance.com and others.
You can learn more on setting up an online passive income business from the tutorial at Build value plus build traffic online tutorial guide!