Do you know how to invest your money? And where is the best place to put this money?
The answer of these two questions is what we will show you in this article, and we will explain to you where to invest, how to get started and what options do you have.
By hearing the word “Invest”, you automatically think about a fortune or a lot of money. And, this is wrong because you can start investing $100, $200 or $500. And, you can be able to make great amounts starting from $500 or less, just you must know how and where to invest this money.
Also, if you think that $500 is a lot of money, and you have no idea how to make it. You can check these articles that we wrote before:
The cool thing is that today we have a lot of options to invest in. But, we will explain to you the best options to invest in them. And you can start acting immediately and generate income. Of course, that if you have a big capital, you will have more choices and if you have a maximum of $500, you will be limited. For example, Vanguard allows you to start with them with $1000 and Fidelity required more than $2500.
So, a lot of great platforms won’t allow to start with less than $1000 and we spoke about these platforms earlier. But, there are several options, that I will speak about today that will allow you to start with small amount of money.
- Mutual Funds, ETFs and Stocks:
The first option is to start investing into mutual funds, ETFs and Stocks. You can find a variety of platforms to buy from, but it depends on you experience level and if you have already bought before or not. If you need something more secure and something to start with, the mutual funds, ETFs and exchange traded funds will be the best choice for you. Because, they are being diversified and you won’t need to choose just one stock that will provide high risk. You will get something between 50 to 100 different stocks and you can imagine what will happen to the risk. The golden rule to minimize the risk, is to diversify your choices, and there is also the SMP 500 index fund, that will give you 500 stocks.
Our golden advice is to use some platform that will allow you to get control on this investment. Even if you don’t have experience, you will be able to have control in choosing your mutual funds or ETFs. We recommend two platforms to check out.
The first place is the Ally Invest, that won’t limit your investment because it asks for no minimum. So, you can start just with $500 or even with less money. Another good thing is that they provide full access to ETFs, mutual funds and individual stocks and they have much more.
And they won’t charge big fees, because a lot of websites charge more than $12 per trade. Ally Invest charges just $4.95 per trade and with the full-service broker. That is a good deal, because there is no minimum and you have full access to all the items.
The second platform is E-Trade, very know company and they have $500 minimum account to get started with them. They charge a little more than Ally Invest, $6.95 per trade. Just two bucks more, and you will get full access and full control of your investment.
They provide mutual funds, ETFs and individual stocks. And they have over 90ETFs, that you get for 0 commission, which you can’t get at Ally Invest. The cool thing is that you won’t pay $4.95 or $6.95 or anything, you have +90 ETFs option to buy with zero transaction cost.
Instead of having control and buy options by yourself, you can get someone to pick investments for you and do it for you without the need of any experience.
So, we recommend Betterment, there is no minimum with Betterment. They will choose ETFs and exchange traded funds for you, depending on your financial goals. For example, you need to invest just for the short-term, or if you are saving for retirement…etc.
And, this is a good thing, because they will build a portfolio especially for you, depends on your financial plans and goals, and the recommend the lowest risk.
The second platform is Wealthfront, they will also choose best investments for you and manage your ETFs. They are very similar to Betterment, but they require $500 as minimum to start with them. But, both are trying to choose the low-cost ETFs and they provide less risk for you.
Both will build a portfolio for you depending on your financial goals and plans and manage everything for you. And the best thing is that you can start with $500, and you can find a lot of other apps that give great results.
There is Acorns, their job is to invest your money for you and instead of letting the money in your checking account, they will take it and invest it. They invest in ETFs, just like Betterment and Wealthfront, and they will control the investment for you.
So, you will be asked to set up an account and deposit the money. And they will invest automatically for you and gather money for you. You can check it after a year and you will find hundreds or thousands of dollars just sitting there.
Another app, which is very popular and especially in the United States of America, is Robinhood. A lot of experts are using it and invest their money by using Robinhood. The cool thing is that they charge $0 as commission for any stock or ETF trade.
So, you can set up an account in minutes and deposit an amount of money and start investing automatically without paying any commissions. We recommend ETFs, but they offer also crypto currencies and stocks. Which makes Robinhood a great platform diversified, with zero commission.
In addition, there are a lot of other companies and apps, that allows you to start investing and every one of them offers too many features. That develop their selves and develop their user experience by understanding the market needs and innovate their platforms every day.
All these options offer a lot of features and investment methods and allow you to double your $500 and make more money. The cool thing is that you won’t be asked to have big experience, and there are platforms that consider your financial goals and plans which is very good.
- Become a real estate investor:
The second thing is something that will blow your mind, what if I told you that you can be a real estate investor with $500? Yeah, with $500!
Today, you can start investing in real estates without the need of getting loans, go to the bank or even leave your house. And this is the best thing about technology, $500 can make a real estate investor.
The platform called Fundrise, that allow to start investing your $500 in real estate. And you can set up an account, deposit this $500 and get started with real estate.
The idea of Fundrise, is that they will build a real estate portfolio for you, buying properties on your behalf. And the cool thing is that they will give you their expertise to make for you high return. They are a trust company, and very legit and they have made very good investments before.
Another thing is that their will show for you the expected returns, and you can check these numbers even before you create an account. Also, you can check their assets, what they own and where it’s located, and you can check it with Google Maps or go there. You can start today just with $500 investing in real estate and start seeing dividend going directly to your account.
- Start your online business:
$500 is more than enough to start an online business and generate monthly income. This is the best way to invest your money, and it will work for you in your entire life and keep making money for you. Also, you can make it a passive income source and do the work only one time and keep generating money.
You will be asked to put some hard work, and that is sure in order to achieve anything and especially if you need to have something good. But, what I am sure about is that you will be rewarded for every single minute you put into your online business.
Also, online businesses are much more profitable than every other job, and less stressful because you can do the work at anytime and anywhere you want to work from. So, instead of working from 8 to 17 pm, you can work at night or anytime that will suit you. Also, it is your business and you will be more motivated of course.
And to start an online business, you have too many choices and options. But, we recommend that you start by buying a domain name and start a blog or a full website. The price to register a domain name is less than $12, and you get it even for $1 if you are using some coupons.
And, you will need a host, where to host this website or blog. We recommend Ipage or Godaddy to start with, and you will be paying something between $40 to $70 per the entire year. You can consider also buying an elegant design with its plugins, or just use a free one to start with.
So, $500 will be enough to start with and you can start running ads with what you have left. And, you can check some Fiverr services that will do all the steps for you and you will be paying something less than $100.
Then, the important step is the content, write something with value and run ads in your social media in the start. Which will grow your visitors base and don’t forget to focus on the email marketing also, because it is too important for blogs and content businesses. In the start, write about something that you are interested about to stay motivated and keep giving value because you are building a brand, and you must keep great relation with visitors.
For the revenue, you can consider setting an AdSense account at the first, which can be enough for the start. Then, start promoting some affiliate products and generate more revenue. But always search for interested people and try to understand the need of your market. Because if you understand your base needs, the income will come automatically because you can promote products, win from ads or even sell courses.
We recommend starting with blogging, because it doesn’t require huge amount of money to start. But you can start in Drop shipping, and here we are speaking about Shopify, Ebay and even start your online store. Also, you can start using Amazon FBA and start in it, but it will require more money and more effort at the first. You can sell absolutely everything from spoons to electronic products. The cool thing is that you won’t need to have a team to start or any costs, you will need only internet access and computer and start making money.
- Online Courses:
Of course, that you will hate me to say that, and you will think that you can generate income from investing in online courses. Let me tell you that you won’t be able to make money and keep making money if you don’t invest in yourself. To create success and generate high ROI, you must start learning a task to do, and by buying an online course you will be fully passionate about implementing what they say there.
You can get a lot of courses for free and invest your money to implement their ideas or buy traffic…etc. But the key is to learn and keep learning something new. Also, there are a lot of online courses that show you how to double your money quick, just you must know the best courses to get and search for it before buying it.
We recommend choosing something that you love, and you will be able to put work and effort in it, for example: starting a blog or a Shopify store. Then, search for some online courses that will suit and develop this business, something about SEO, or how to bring more interested traffic.
Investing a $100 or even a $500 into education and learning a new task is nothing, comparatively with the results that you will get, and the opportunities that you will have to develop after that. And the best thing, is that you will save time, which is too important than money, and use others’ experiences without the need of testing and make the same errors as others. And remember that you will get a high return on investment that you won’t be able even to measure.
The idea is that buying a course is not an expense, but it is an investment, that will make for you a high ROI and develop your opportunities in the market. And you are not losing money, but you are buying information in order to develop your business.
Also, a very important point is that a lot of free stuff, free courses or even nulled courses exist online for $0, yes for $0. And, it is very good to take them and start working but what happen to most people, is that we will take action and care even if we pay money. For example, you bought an online course for $100 or $200, you will go automatically and check it out and start implementing the ideas. But, you got a lot of free courses on YouTube everyday and nobody implement these courses because we don’t feel their importance yet. So, paying for an online can be good and getting free is also good, but you have to start implementing right away.