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Useful suggestions on how to invest and earn

One can invest and save not only in bank deposits. The goal of this handbook is to inform about the wide range of alternative investment opportunities available to any investor. The target audience of this handbook is anyone who has established or plans to establish savings in the thousands (but not in the many millions) and who basically understands or is ready to learn what shares, bonds, investment funds and similar terms mean. The handbook content is regularly updated.

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Table of contents

Preparation

Investments in stock exchange shares

Loans/bonds

Other investments

Why invest?

If we talk about personal income, then it can be divided into two large categories: active and passive. Active income comes from daily work (salary), while passive income comes from investments and savings. Often when we think about our day-to-day funds, we focus only on the active income side, however, increasing the amount of passive income can provide the following benefits:

1. Additional income

Income comes regardless of whether you work or not. It is additional insurance in an unemployment situation or simply income in situations when you want to not work for a long time and, for example, travel

2. Larger purchases

Savings provide capital for unexpected expenses or larger purchases. You can save by using your savings for the purchase and not paying interest on the loan to banks

3. Independence
Gain a sense of independence (from the employer, economic situation, state policy and other circumstances) and thus reduce everyday stress

4. Pension

Supplement to old-age income when it will no longer be possible to receive active income, while relying entirely on a state-paid pension would not be desirable

Your wealth is made up of assets that work while you rest. It is important for you to make sure that you actively work well and do it according to your interests. The value of assets is constantly fighting inflation and your goal should be to ensure that the value of your savings does not decrease as a result of inflation. Therefore, although money in a bank account is a very safe source of deposit, such an investment brings losses every year (especially when there is a high rate of inflation, as, for example, now). Bank deposits are also no help in the fight against inflation - at best, banks offer investors an annual return of a few percent. The good news is that there are a number of investment alternatives with long-term expected returns that beat the rate of inflation. In addition, many of these investments do not require high financial skills, large amounts of investment or significant time consumption.