New investors, across a variety of asset classes, need to understand the fundamentals that make the markets turn. There is no substitute for great research, and the most seasoned among investing circles know this fact.
If you’re hoping to get started in the stock market or in commodities trading (cryptocurrency, real estate, ounces of gold bullion, etc.), understanding the quirks of your chosen marketplace is a must. Read this to start building your knowledge base so that you can approach any future investment opportunities with an open mind and a strong background knowledge in place.
Real estate comes in many forms.
Investors love the power of property market opportunities. Whether it’s a REIT—a Real Estate Investment Trust—or physical assets that you own and manage on your own, the property pays out excellent dividends to the savvy investor in the United States and beyond.
The thing that sets real estate apart is the ability to leverage a huge proportion of the overall cost with the help of a lender’s capital. Private money lenders like Pacific Private Money offer investors the ability to quickly close on a new investment property with little upfront paperwork and rapid financial checks. Pacific Private Money loans are different from those stemming from a traditional lender like a bank. This is because a private money lender is able to extend a line of credit or a loan funding option to borrowers without the extensive rules and regulations that hamstring a traditional financial institution.
Big banks are like franchise locations. Each local branch must adhere to the corporate regulatory oversight that is set up to mitigate losses over the scope of the entire company. This means that market conditions in Iowa affect borrowers in New York, Miami, and Sacramento equally. These markets may operate in a similar fashion, but they are likely to require a nuanced touch and an ounce of uniqueness that a corporate financial lender simply can’t provide.
Borrowing hard money or private money in order to secure a new investment property makes the entire real estate space a great opportunity for an investor looking to bring in new rental income or quickly flip a home for immediate profit.
Dual-threat asset classes are key to success.
Real estate operates as a dual threat for investors who want to leverage their property as a rental income-generating opportunity. Borrowing against the value of the home in a future transaction while continuing to enjoy the dividend returns makes property a fantastic asset for long-term investors.
In a similar fashion, dividend generators can operate in much the same way. Firms like Alamos Gold Inc. (NYSE: AGI) provide investors with a long-term growth asset that has consistently produced great dividends in the short. With a number of subsidiaries and ongoing extraction projects that will net hundreds of thousands of additional ounces of gold in the future—namely at Kirazli in the Republic of Turkey—Alamos is poised to continue growing well into the future.
The Alamos Gold, Turkey projects are particularly exciting for those who’ve already bought into this gold miner. Alamos is developing three new miner sites in the Republic of Turkey, headed by the flagship Kirazli project. The cost per ounce here is among the lowest in the industry, and the Kirazli mine promises to bring a huge volume of ounces to the surface every year for commercial production purposes.
In addition to the expansion projects that Alamos is undertaking, under the leadership of John A. McCluskey, Alamos is a pioneer in the project of creating environmentally-friendly mining practices. By following through on commitments to reduce non-renewable power sources at the Mulatos Mine in Mexico (and following up in the Young-Davidson and Island Gold Mines in Northern Ontario), Alamos is seeing their projects through and earning huge praise within and beyond the industry as a result.
Finding investment opportunities that fit your needs, goals, and future plans is crucial. Take these tips on board for a well-rounded investment strategy.