Did you win the lottery or exit a large business?
If you have $100 million to invest, you have to be CAREFUL!
In this guide, I'll show you some of the best ways to invest any large amount of money so you can turn your hard earned cash into even more money. Let's dig in!
Here's the quick rundown:
- Invest in real estate with Arrived
- Invest in the stock market with Acorns
- Invest a small amount in cryptocurrency with Binance
- Invest in alternative assets with YieldStreet
1. Invest in Real Estate with Arrived
You can confidently invest a portion of your $100 million in real estate through Arrived. By investing in Arrived, you can diversify your portfolio across various rental properties, reducing risk and potentially improving ROI – which is key.
Best of all, you can take advantage of low minimum investments, enabling you to spread your savings across multiple properties. This may lead to a stable rate of return, aligning with your risk tolerance.
With a mortgage, you can leverage your investment and potentially enhance your rate of return. Arrived's team of industry experts researches, evaluates, and purchases rental properties within the U.S., offering ownership through the platform.
>> Start your real estate investment journey with Arrived and put your money to work.
2. Invest in Index Funds with Acorns
When you're looking to invest $100 million, consider using Acorns to invest in index funds.
Index funds are a smart investment choice as they aim to match the market's performance, offering a naturally diverse portfolio while minimizing risk. With Acorns, you can enjoy the benefits of automatic round-ups and occasional rebalancing to keep your investments on track.
To create a well-rounded portfolio, incorporate a mix of stocks, bonds, ETFs, and mutual funds as part of your asset allocation strategy. This approach ensures diversification and helps in managing risks. You may also consider investing in dividend-paying stocks for passive income.
Overall, Acorns' ease of use and automatic features make it a great option for investing in index funds as part of your $100 million investment plan.
Download this cheat sheet to learn the best passive income ideas
3. Invest in Crypto with Binance
Considering investing a portion of your $100 million in cryptocurrencies? Binance, the world's largest cryptocurrency exchange, is a reliable platform to diversify your investment.
While crypto investments can offer high returns, remember that they also come with a higher risk compared to conservative assets.
To maximize profit and minimize loss, it's crucial to have a diversified portfolio. On Binance, you can choose from a vast selection of cryptocurrencies and take advantage of features like limit orders, stop-limit orders, and market orders to optimize your trades.
When dealing with large sums, be cautious with leverage as it can amplify both profits and losses. Focus on a long-term strategy and monitor market trends to ensure the best return on investment.
With careful planning, investing in crypto with Binance can be a valuable addition to your $100 million allocation and it can be an amazing option to double your money in 15 days.
4. Invest in Real Estate Debt with Groundfloor
If you're looking to invest in real estate debt, Groundfloor is a great platform to consider.
With its easy-to-use interface, you can directly access short-term, high yield investments backed by real estate. The minimum investment is just $10, making it accessible for a variety of investors.
As an investor, you can earn interest rates between 5% and over 10% on loans. Your return on investment comes from the interest payments borrowers make on their loans.
Although there is zero liquidity and loan defaults can occur, utilizing Groundfloor for a portion of your $100 million investment can add diversification and attractive returns to your overall portfolio. Keep in mind that this platform is most suitable for experienced and passive investors.
5. Invest in Commercial Real Estate with RealtyMogul
To diversify your $100 million investment and potentially generate passive income, consider allocating a portion to commercial real estate through RealtyMogul.
Established in 2013, this platform simplifies the investment process in vetted commercial real estate projects.
On RealtyMogul, you'll have access to privately held real-estate investment trusts (REITs) and private deals for accredited investors. By investing in commercial properties, you can leverage debt and enjoy the benefits of potential ROI through rental income and capital appreciation.
As you build your investments in commercial real estate, you may find increased financial independence, security, and an opportunity to grow your wealth. Keep in mind to monitor your investments and adjust your allocation as needed for a well-rounded, successful portfolio.
6. Start a Business
Investing in a business can lead to financial independence if done wisely.
First, assess your risk tolerance and decide on the type of business that suits your preferences. Create a thorough business plan, including profit projections and cost analysis. It's also crucial to work with an experienced investment advisor to guide you through the process.
You may consider investing in an established business or allocating a percentage of your funds as venture capital for start-ups. Remember, higher potential returns come with higher risk. Research, due diligence, and advice from professionals can help ensure success.
7. Invest in Alternative Assets with YieldStreet
YieldStreet is an investment platform that enables you to invest in alternative assets like art, real estate, and cryptocurrency. By allocating a portion of your $100 million portfolio to YieldStreet, you can diversify your holdings and potentially lower your overall risk.
Based on your risk tolerance, you can choose from a variety of investment offerings on YieldStreet. These investments can help diversify your portfolio, protect your savings, and potentially generate high returns.
To get started on YieldStreet, consider investing in their flagship fund, which is open to everyone and has a minimum investment of $500. Remember that a well-diversified portfolio can help increase your overall return on investment while managing risk.
8. Invest in Precious Metals
To protect your wealth and diversify your portfolio, investing in precious metals such as gold and silver is a smart move. These metals tend to hold their value during inflation, making them a good hedge against economic downturns.
Allocating part of your $100 million into precious metals can be done through various methods. You may consider purchasing physical bullion bars or coins as a direct investment in these valuable resources. Alternatively, you might opt to invest in stocks of mining companies that actively mine gold, silver, and other precious metals.
Another option for asset allocation in precious metals is exchange-traded funds (ETFs), which are backed by the metals themselves. This allows you to gain exposure without the need for storage, while still enjoying the benefits these metals provide to your overall investment strategy.
Want to learn more about investing in precious metals? Check out the video below!
9. Open a High Yield Savings Account
A high yield savings account can be a conservative and profitable option for investing part of your $100 million. These accounts offer a higher interest rate compared to traditional savings accounts, helping you combat inflation and increase your capital over time.
Look into online banks, as they typically provide better interest rates than traditional brick-and-mortar institutions. Always compare annual percentage yields (APY), minimum balance requirements, and fees when selecting an account.
Remember, while high-yield savings accounts provide a safe way to grow your money, diversifying your investments is crucial for maximizing potential returns. Be sure to explore other investment options as well to optimize your $100 million portfolio.
10. Invest in Bonds
When you have $100 million to invest, diversifying into bonds provides a more stable income than stocks, as bonds typically offer fixed interest payments.
To start, consider allocating a portion of your investment into government or corporate bonds, depending on your risk tolerance and desired rate of return.
Keep in mind that interest rates and bond prices are inversely related.
To manage interest rate risk, use a strategy like “bullets” where you buy bonds at different periods but with roughly the same maturity date. This approach allows you to benefit from a variety of interest rates while maintaining a relatively consistent timeline for your investment.
Remember that bonds can offer a predictable income stream and a good option as part of a diversified investment portfolio. Maintain a mix of investment vehicles, including stocks, dividends, and savings to maximize your potential returns while minimizing risk.
Here's a great video explaining more about bonds.
11. Invest in Real Estate Investment Trusts (REITs)
If you're looking to invest a portion of your $100 million, consider allocating some funds to Real Estate Investment Trusts (REITs).
REITs allow you to invest in real estate without directly owning property, providing an opportunity for diversification and a relatively stable income through dividends.
To invest in REITs, you can purchase shares of publicly traded REIT stocks, similar to how you'd invest in other company stocks.
This strategy helps you earn income through dividends, which are typically higher than average stock dividends. As a result, you can achieve a more consistent return on investment and potentially progress towards financial independence.
Keep in mind that even though REITs offer certain benefits, it's crucial to research and analyze their performance while maintaining a balanced and diversified investment portfolio.
There are plenty of great ways to invest $100 million but I recommend leaning towards safer, longer term assets to double your money.
For this reason, I recommend investing in real estate with Arrived or Realty Mogul and investing in the stock market with Acorns.
You can also open a high yield savings account and consider treasury bonds to even more secuirty.
Download this cheat sheet to learn the best passive income ideas