5 Best Investments with High Returns

High risk, high reward… right? We all would ideally like to make investments with guaranteed high returns. But, does it always have to go on that way when making investments? When it comes to investment, not even professionals always make big wins.

But, there are lots of investors out there who certainly know how to minimize the risk of their investment.

They do so by putting a significant focus on safe investments, and most likely, the ones that look like they will yield great rewards. So, in today’s market, what are some of these investments with high returns? Read on to find out.

Investments with High Returns

Certificate of Deposits (CDs)

Say you have a steady flow of cash but still want to make that investment that will yield well in the future. What do you do? You definitely should go for CDs. These accounts will offer you a great reward if you aren’t planning on withdrawing in the foreseeable future.

Here’s a catch, if you happen to need the amount before the set upon date, you will incur a huge penalty. These investments are quite pleasing if your literary doesn’t have the time to keep an eye on several things. Also, if you want to avoid risk in its entirety, this is the way to go.

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Treasuries

Another one that is more or less long-term is investing in treasury bonds. Here, if you come up with an emergency, you won’t get the money until the maturity of the bond. So, if you’re sure that you won’t need the money you’re investing in the near future, it can be a safe investment.

The best part is, the money is backed by the national government and is also risk-free, as FDIC insures it. There’s a catch, though; the amount should be more than $25,000.

Municipal Bonds

One word when it comes to municipal bonds is untaxed. Yes, you heard that right, the bonus you get here is untaxed. There’s no guarantee here, as when dealing with treasuries, the amount you invest here is not risk-free. Chances of a state going bankrupt are quite low, but these things do happen. If the city goes bankrupt, you definitely will lose, as there is no cover for it.

To be on the safe side of things, avoid states with high and unfunded pension liabilities. But also, it isn’t all gloom here, as the national government usually has a high interest in the borrowing of states being on the low side. With that, plus the bonus of reducing your tax cost, this still can be considered one investment with high returns.

Conclusion

Figuring out the best investments to make can be a task. More so when the investments you want to make are the kinds with the lowest possible amount of risk. One thing is clear, though, if you want the best returns on your investment; you have to be patient. Most of these investments aren’t the overnight schemes that people are conned with. It takes a considerable amount of time to see through the investment, and in most cases, a considerable amount of capital. 

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