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How to Make a Fortune with These 8 Investments in 2024

The Ultimate Strategy to Grow Your Money and Achieve Your Goals

Are you looking for the best investments to grow your wealth in 2024?

Do you want to know which assets can offer you the highest returns and the lowest risks?

If you answered yes, then you’re in the right place.

In this article, I’ll reveal the 8 investments that can help you make a fortune in 2024.

These are the investments that have the potential to outperform the market, benefit from the latest trends, and withstand any economic shocks.

But before I do that, let me explain why 2024 is a unique year for investors.

Why 2024 is a Great Year for Investing

You see, 2024 is not an ordinary year. It’s a year that will be marked by several factors that will shape the global economy and the financial markets. Here are some of them:

  • The COVID-19 pandemic will finally be under control, thanks to the widespread vaccination and the development of new treatments. This will lead to a strong recovery in consumer spending, business activity, and international trade.
  • The U.S. Federal Reserve will likely start to raise interest rates, after keeping them near zero for almost six years. This will have a significant impact on the value of the U.S. dollar, the cost of borrowing, and the attractiveness of different asset classes.
  • The U.S. presidential election will take place, creating uncertainty and volatility in the political and geopolitical landscape. The outcome of the election will influence the direction of the U.S. fiscal policy, trade relations, and environmental regulations.
  • The technological innovation will continue to accelerate, driven by the advances in artificial intelligence, biotechnology, renewable energy, and blockchain. These technologies will disrupt various industries, create new opportunities, and challenge the status quo.

All these factors will create both challenges and opportunities for investors in 2024.

That’s why you need to be smart and selective about where you put your money.

You need to invest in the assets that can thrive in this dynamic environment, and avoid the ones that can suffer or become obsolete.

The 8 Best Investments for 2024

So, what are the best investments for 2024?

Here’s my list of the 8 investments that can help you make a fortune in 2024:

  1. Growth stocks. Growth stocks are the stocks of companies that have high growth potential, usually in the technology, communication, or consumer sectors. These stocks can offer you impressive returns, as they benefit from the increasing demand for their products or services, the expansion of their market share, and the improvement of their profitability. Some examples of growth stocks are Apple, Amazon, Netflix, and Shopify.
  2. Value stocks. Value stocks are the stocks of companies that are undervalued by the market, usually in the financial, energy, or industrial sectors. These stocks can offer you attractive returns, as they trade at low prices relative to their earnings, assets, or dividends. Some examples of value stocks are Bank of America, Exxon Mobil, General Electric, and Ford.
  3. Small-cap stocks. Small-cap stocks are the stocks of companies that have a market capitalization of less than $2 billion, usually in the emerging or niche markets. These stocks can offer you high returns, as they have the potential to grow faster than their larger peers, benefit from the economic recovery, and attract more attention from investors and analysts. Some examples of small-cap stocks are Roku, Zillow, Beyond Meat, and Lemonade.
  4. International stocks. International stocks are the stocks of companies that are based outside the U.S., usually in the developed or developing markets. These stocks can offer you diversification benefits, as they expose you to different economic conditions, growth drivers, and market opportunities. Some examples of international stocks are Alibaba, Toyota, LVMH, and MercadoLibre.
  5. Dividend stocks. Dividend stocks are the stocks of companies that pay regular dividends to their shareholders, usually in the utility, consumer, or healthcare sectors. These stocks can offer you steady income, as they provide you with a stream of cash that you can reinvest or spend. Some examples of dividend stocks are AT&T, Coca-Cola, Johnson & Johnson, and Procter & Gamble.
  6. Long-term bonds. Long-term bonds are the bonds that have a maturity of more than 10 years, usually issued by the U.S. government, corporations, or municipalities. These bonds can offer you capital appreciation, as they increase in value when the interest rates fall. Some examples of long-term bonds are the 30-year Treasury bond, the 20-year corporate bond, and the 15-year municipal bond.
  7. Short-term bonds. Short-term bonds are the bonds that have a maturity of less than 5 years, usually issued by the U.S. government, corporations, or municipalities. These bonds can offer you liquidity and stability, as they are easy to sell and have low price fluctuations. Some examples of short-term bonds are the 2-year Treasury note, the 3-year corporate note, and the 1-year municipal note.
  8. High-yield bonds. High-yield bonds are the bonds that have a low credit rating, usually issued by the companies that have a high risk of default. These bonds can offer you high returns, as they pay higher interest rates than the safer bonds. Some examples of high-yield bonds are the bonds of Netflix, Tesla, Uber, and Carnival.
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How to Invest in These 8 Investments

Now that you know the 8 best investments for 2024, you might be wondering how to invest in them. Well, there are several ways to do that, depending on your preferences, goals, and risk tolerance. Here are some of them:

  • You can buy individual stocks or bonds directly from the market, using an online broker or a trading platform. This way, you can have full control over your portfolio, but you also need to do your own research, analysis, and monitoring.
  • You can buy exchange-traded funds (ETFs) or mutual funds that track the performance of a specific index, sector, or theme. This way, you can have instant diversification, low fees, and easy access, but you also need to pay attention to the fund’s composition, expenses, and tracking error.
  • You can use a robo-advisor or a financial planner that can create and manage a customized portfolio for you, based on your risk profile, time horizon, and objectives. This way, you can have professional guidance, automated rebalancing, and tax optimization, but you also need to pay a fee for the service and trust the algorithm or the advisor.

Conclusion

2024 is a great year for investing, as it offers many opportunities for growth, value, income, and diversification.

However, it also comes with many challenges, such as interest rate changes, political uncertainty, and technological disruption.

That’s why you need to be smart and selective about where you put your money.

The 8 investments that I’ve listed in this article can help you make a fortune in 2024, as they have the potential to outperform the market, benefit from the latest trends, and withstand any economic shocks.

Of course, you should always do your own due diligence, diversify your portfolio, and adjust your strategy according to your situation.

I hope you found this article helpful and interesting.

If you did, please share it with your friends and family, and leave a comment below.

And if you want to learn more about investing, please subscribe to my newsletter, where I’ll send you more tips and insights every week.

Thank you for reading, and happy investing!


FAQs

1. How do I choose a good investment?

Choosing a good investment depends on your financial goals, risk tolerance, time horizon, and personal preferences.

There is no one-size-fits-all formula for picking the best investments, but there are some general guidelines you can follow:

  • Identify your financial goal and when you want to achieve that goal. For example, you might want to save for retirement, buy a house, or fund your child’s education. Your goal will help you determine how much you need to invest, how long you need to invest, and how much risk you can take.
  • Decide whether you want to manage your money yourself or work with a service that does it for you. If you have the time, interest, and expertise to research and monitor your investments, you might prefer to do it yourself. If you prefer to delegate the task to a professional, you might opt for a robo-advisor or a financial planner. These services can help you create and manage a diversified portfolio that matches your risk profile and objectives, for a fee.
  • Pick the type of investment account you’ll use. Depending on your goal, you might choose a taxable account, a tax-advantaged account, or a combination of both. A taxable account is a standard brokerage account that lets you buy and sell various securities, such as stocks, bonds, ETFs, and mutual funds. A tax-advantaged account is a special account that offers tax benefits for certain purposes, such as retirement or education. Some examples of tax-advantaged accounts are IRAs, 401(k)s, 529 plans, and HSAs.
  • Open an account. Once you’ve decided on the type of account you want, you need to open it with a broker, a bank, or a robo-advisor. You’ll need to provide some personal and financial information, such as your name, address, Social Security number, income, and net worth. You’ll also need to fund your account with an initial deposit, which can vary depending on the provider and the account type.
  • Choose your investments. This is the most challenging and important step of the process, as it will determine your returns and risks. You need to consider several factors, such as the asset class, the sector, the industry, the company, the valuation, the performance, the dividend, the growth potential, the competitive advantage, and the market conditions. You also need to diversify your portfolio across different investments, to reduce your exposure to any single risk. You can use various tools and resources to help you choose your investments, such as financial ratios, stock screeners, analyst ratings, news articles, and online courses.

2. Can you explain more about high-yield bonds?

High-yield bonds are corporate debt securities that pay higher interest rates than investment-grade bonds, but also have higher default risk and volatility.

They are issued by companies with lower credit ratings, which means they have a higher chance of not being able to pay back their debt.

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Investors buy high-yield bonds to earn more income from their investments, but they also face more uncertainty and risk.

Here are some key features of high-yield bonds:

  • They have lower credit ratings of below BBB- from Standard & Poor’s and Fitch, or below Baa3 from Moody’s. This means they are considered non-investment grade or junk bonds.
  • They pay higher interest rates or coupons than investment-grade bonds, to compensate investors for the higher risk. The interest rate depends on the credit quality, maturity, and market conditions of the bond.
  • They have higher price volatility than investment-grade bonds, which means they can fluctuate more in value due to changes in interest rates, credit ratings, or market sentiment. High-yield bonds tend to perform better when the economy is strong and interest rates are low, and worse when the economy is weak and interest rates are high.
  • They have higher default risk than investment-grade bonds, which means they have a higher probability of not being able to pay back their principal or interest. If a bond issuer defaults, the bondholder may lose some or all of their investment. High-yield bonds may also have lower recovery rates than investment-grade bonds, which means they may recover less of their value in case of default.
  • They have lower liquidity than investment-grade bonds, which means they are harder to buy or sell in the market. High-yield bonds have fewer buyers and sellers, and may have wider bid-ask spreads, which can increase the transaction costs and reduce the returns for investors.

3. What is a robo-advisor?

A robo-advisor is a digital platform that provides automated, algorithm-driven financial planning and investment services with little to no human supervision.

A typical robo-advisor asks questions about your financial situation and future goals through an online survey, and then uses an algorithm to create and manage a diversified portfolio of assets that matches your risk profile and objectives.

Robo-advisors are popular among investors who want to save time and money, as they usually charge lower fees and require lower minimums than traditional financial advisors.

However, robo-advisors may also have some limitations, such as lack of customization, human interaction, and complex advice.

4. Can you give me an example of a good investment portfolio?

A good investment portfolio is one that suits your financial goals, risk tolerance, time horizon, and personal preferences.

There is no single best portfolio for everyone, as different investors have different needs and expectations.

However, a general principle of investing is to diversify your portfolio across different asset classes, such as stocks, bonds, cash, and alternatives.

Diversification can help you reduce your overall risk and increase your potential returns.

One way to diversify your portfolio is to use the asset allocation model, which is a strategy that determines how much of your money you should invest in each asset class.

The asset allocation model depends on your age, income, expenses, and risk appetite. A common rule of thumb is to subtract your age from 100 or 110, and use the result as the percentage of your portfolio that should be invested in stocks.

The rest of your portfolio should be invested in bonds and cash. For example, if you are 40 years old, you could invest 60% or 70% of your portfolio in stocks, and 30% or 40% in bonds and cash.

Another way to diversify your portfolio is to use the core-satellite model, which is a strategy that combines a large, stable, and diversified core portfolio with smaller, more specialized, and potentially higher-returning satellite portfolios.

The core portfolio usually consists of low-cost index funds or exchange-traded funds (ETFs) that track the performance of broad market indices, such as the S&P 500, the Nasdaq 100, or the MSCI World.

The satellite portfolios usually consist of individual stocks, bonds, or funds that focus on specific sectors, regions, themes, or strategies, such as technology, emerging markets, value, or growth.

The core portfolio typically makes up 60% to 80% of your portfolio, while the satellite portfolios make up 20% to 40%.

Here are some examples of diversified portfolios that you can use as a reference or inspiration for your own portfolio.

These are not recommendations, but rather illustrations of how you can apply the asset allocation or the core-satellite model to your portfolio.

You should always do your own research, analysis, and due diligence before making any investment decisions.

Example 1: Asset Allocation Portfolio for a Moderate Investor

This portfolio is based on the asset allocation model, and assumes a moderate level of risk tolerance and a long-term investment horizon.

It allocates 70% of the portfolio to stocks, 25% to bonds, and 5% to cash.

It also diversifies the portfolio across different market segments, such as large-cap, mid-cap, small-cap, international, and emerging markets.

  • 35% in a large-cap stock fund, such as the Vanguard Total Stock Market Index Fund (VTSMX) or the SPDR S&P 500 ETF (SPY)
  • 10% in a mid-cap stock fund, such as the Vanguard Mid-Cap Index Fund (VIMAX) or the iShares Core S&P Mid-Cap ETF (IJH)
  • 10% in a small-cap stock fund, such as the Vanguard Small-Cap Index Fund (VSMAX) or the iShares Core S&P Small-Cap ETF (IJR)
  • 10% in an international stock fund, such as the Vanguard Total International Stock Index Fund (VTIAX) or the iShares Core MSCI EAFE ETF (IEFA)
  • 5% in an emerging market stock fund, such as the Vanguard Emerging Markets Stock Index Fund (VEMAX) or the iShares Core MSCI Emerging Markets ETF (IEMG)
  • 20% in a total bond market fund, such as the Vanguard Total Bond Market Index Fund (VBTLX) or the iShares Core U.S. Aggregate Bond ETF (AGG)
  • 5% in a short-term bond fund, such as the Vanguard Short-Term Bond Index Fund (VBIRX) or the iShares 1-3 Year Treasury Bond ETF (SHY)
  • 5% in a money market fund, such as the Vanguard Federal Money Market Fund (VMFXX) or the Fidelity Government Cash Reserves (FDRXX)
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Example 2: Core-Satellite Portfolio for a Growth Investor

This portfolio is based on the core-satellite model, and assumes a high level of risk tolerance and a long-term investment horizon.

It allocates 80% of the portfolio to the core portfolio, which consists of four index funds that cover the U.S., international, and emerging markets.

It allocates 20% of the portfolio to the satellite portfolios, which consist of four individual stocks that focus on the technology sector.

  • 40% in a U.S. stock fund, such as the Vanguard Total Stock Market Index Fund (VTSMX) or the SPDR S&P 500 ETF (SPY)
  • 20% in an international stock fund, such as the Vanguard Total International Stock Index Fund (VTIAX) or the iShares Core MSCI EAFE ETF (IEFA)
  • 10% in an emerging market stock fund, such as the Vanguard Emerging Markets Stock Index Fund (VEMAX) or the iShares Core MSCI Emerging Markets ETF (IEMG)
  • 10% in a global stock fund, such as the Vanguard Total World Stock Index Fund (VTWAX) or the iShares MSCI ACWI ETF (ACWI)
  • 5% in Apple Inc. (AAPL), a leading technology company that produces the iPhone, iPad, Mac, Apple Watch, and other products and services
  • 5% in Amazon.com Inc. (AMZN), a leading e-commerce and cloud computing company that operates the Amazon online marketplace, Amazon Web Services, and other businesses
  • 5% in Microsoft Corporation (MSFT), a leading software and technology company that develops the Windows operating system, Office suite, Azure cloud platform, and other products and services
  • 5% in Tesla Inc. (TSLA), a leading electric vehicle and clean energy company that produces the Model S, Model 3, Model X, Model Y, and other products and services

Example 3: Balanced Portfolio for a Conservative Investor

This portfolio is based on the asset allocation model, and assumes a low level of risk tolerance and a short-term to medium-term investment horizon.

It allocates 40% of the portfolio to stocks, 50% to bonds, and 10% to cash.

It also diversifies the portfolio across different market segments, such as large-cap, mid-cap, small-cap, international, and emerging markets.

  • 20% in a large-cap stock fund, such as the Vanguard Total Stock Market Index Fund (VTSMX) or the SPDR S&P 500 ETF (SPY)
  • 5% in a mid-cap stock fund, such as the Vanguard Mid-Cap Index Fund (VIMAX) or the iShares Core S&P Mid-Cap ETF (IJH)
  • 5% in a small-cap stock fund, such as the Vanguard Small-Cap Index Fund (VSMAX) or the iShares Core S&P Small-Cap ETF (IJR)
  • 5% in an international stock fund, such as the Vanguard Total International Stock Index Fund (VTIAX) or the iShares Core MSCI EAFE ETF (IEFA)
  • 5% in an emerging market stock fund, such as the Vanguard Emerging Markets Stock Index Fund (VEMAX) or the iShares Core MSCI Emerging Markets ETF (IEMG)
  • 30% in a total bond market fund, such as the Vanguard Total Bond Market Index Fund (VBTLX) or the iShares Core U.S. Aggregate Bond ETF (AGG)
  • 10% in a short-term bond fund, such as the Vanguard Short-Term Bond Index Fund (VBIRX) or the iShares 1-3 Year Treasury Bond ETF (SHY)
  • 10% in a money market fund, such as the Vanguard Federal Money Market Fund (VMFXX) or the Fidelity Government Cash Reserves (FDRXX)

I hope these examples give you some ideas on how to create your own investment portfolio.

Remember, these are not recommendations, but rather illustrations of how you can diversify your portfolio using different models and strategies.

You should always do your own research, analysis, and due diligence before making any investment decisions.


References:

  • Our Best Investment Ideas for 2024 – https://www.morningstar.com/portfolios/our-best-investment-ideas-2024
  • 7 Best Investments in 2024 – https://www.nerdwallet.com/article/investing/the-best-investments-right-now
  • How to Pick Your Investments – https://www.investopedia.com/investing/how-pick-your-investments/
  • How to Pick Stocks: 7 Things All Beginner Investors Should Know – https://money.usnews.com/investing/articles/how-to-pick-stocks-things-all-beginner-investors-should-know
  • High-Yield Bond: Definition, Types, and How to Invest – https://www.investopedia.com/terms/h/high_yield_bond.asp
  • High-yield debt – https://en.wikipedia.org/wiki/High-yield_debt
  • 5 Best Robo-Advisors Of February 2024 – https://www.forbes.com/advisor/investing/best-robo-advisors/
  • What Is a Robo-Advisor? – https://www.investopedia.com/terms/r/roboadvisor-roboadviser.asp
  • 7 Diversified Stock Portfolio Examples For Beginners – https://www.wallstreetzen.com/blog/example-stock-portfolios/
  • Investment Portfolio: What It Is and How to Build a Good One – https://www.nerdwallet.com/article/investing/investment-portfolio
  • Mutual Fund Portfolio Examples for 3 Types of Investors – https://www.thebalancemoney.com/mutual-fund-portfolio-examples-2466523
  • Best Investment Portfolios – 150 Portfolios Better Than Yours – https://www.whitecoatinvestor.com/150-portfolios-better-than-yours/

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