• The Financial Doctor

A New Investment Option - 10% returns, Low Risk

Many people often find it quite hard to get started in the investment world. Investments often appear to have a connotation that relates to being risk-heavy, swaying many people away from it. However, this is not always the case, especially with the new wave of secured investment mortgage funds which guarantees investor security to a whole new level.

The most asked questions when it comes to investments revolve around the lines of “How can I make great returns on my investments with minimal risk?” and “Investing sounds something I would like to give a good shot but I am unsure where to start.” Before we get deeper into these often asked questions, it’s important to note that different investments may have varying degrees of risks and rewards that come with them, and there is no such investment that is perfectly ‘safe’. The trick is to fully understand what you are investing, the potential benefits you can gain from it but also being aware of what could come in the event of an unfortunate circumstances.

Some of you may have just paused and asked yourselves, “Shouldn’t the bank be a safe investment guarantee?”, and while the investment has very minimal risks – it is very short term focused. Banks operate with the basis of providing minimal risk for minimal returns. In the long run, where factors such as taxation and inflation becomes more prominent, the little capital gains earnt is offset and lost to these factors.

Diversifying Investment options

The extent of an investment is maximised most effectively when it prepares the investor into a better financial position during the course of a longer-term period. Self-managed mortgage funds are a perfect example of the type of investments you might want to consider to help you get in these ideal positions. They provide diversity and most importantly for an investor, flexibility. You can start low with your investments or you can go for higher returns with a larger investment sum, all to suit your own financial situation. Mortgage funds are the future of investment, it involves a collective of investors investing into a pool of funds used for real estate transactions, in which returns are obtained and transferred back into the pocket of these investors.

One financial institution that provides mortgage investment funds at very generous rates is Maxiron Wealth. Maxiron Wealth has their own solution dedicated to helping everyday Australians with their wealth building, the Maxiron Monthly Income Trust. It was set up to offer an alternative investment option to everyday Australians; offering competitive rates higher than banks considered as ‘low-risk’, providing returns in the form of monthly payouts.

With Maxiron Wealth you can enjoy up to 10.23% returns per annum, flexible to different term options – ranging from 3 months up to 36 months. A major concern that comes to mind for many investors is the issue of security. Maxiron Wealth has ensured that they have equipped themselves with top-of-industry technology, introducing their own proprietary system iCloud and IDecision which allows for better credit decisioning to ensure mortgage risks are minimised.

Stocks – a hit or miss

Shares and stocks are unpredictable and characterised by volatile behaviour. While you may been fortunate enough to have found luck while investing in some stocks, the reality is that for the majority of us, this is unfortunately likely to not be the case. It is important that before investing, you know exactly where your funds are headed towards and that you are fully understanding of the risks involved with such investment. There are several options available to help you get started.

A financial advisor is always a good way to get started in the investment world. Their role is to look over your investment portfolio, keep an eye of your financial situation and provide actionable advice for you to make better decisions. For those that need somewhere to start, a great place to help kickstart your investment portfolio is Maxiron Wealth and Acorns. Both of these have seen rising tractions over recent times and is projected to continually grow and appease as a pristine investment option to the public.

Traditional investments to put it simply, are a double edge sword; often characterised by the concept of high risk and high reward. Luckily for us, society is shifting to a new direction, where investments are becoming high reward but not necessarily at the expense of a high risk. The column aims educate you on the state of investment returns in Australia, a starting point for you to get yourself on track and obtain some long-term returns.