While savings rates across the UK increased marginally during July, must are falling well short of the current rate of inflation (2.6%). With base interest rates also capped at 0.25% and likely to remain this way for the foreseeable future, it is fair to say that saving money is no longer the best way to build wealth for the future.
Neither is reckless spending, of course, so as individuals we need to uncover creative and quirky ways of utilizing our disposable income in order to achieve financial security.
In this article, we will look at three quirky ways of using your disposable income in a bid to achieve such as objective:
Invest in Businesses
While we are not suggesting that you apply to become an investor on Dragon’s Den (although let’s face it, everyone else seems to have had a go), it is now possible back emerging start-ups in an attempt to build long-term gains.
In truth, there has never been a better time to attempt this, particularly with the popular crowdfunding model having evolved to provide far greater rewards. More specifically, investors can now access an equity-based model, which is more in line with traditional investments in that individuals commit funds in exchanged for a share in the company.
With a keen instinct and an eye for value, you can quickly become a small-scale tycoon that leverages disposable income in order to buy potentially valuable shares and equity stakes.
Play the Financial Markets
The term ‘play’ is probably a little misleading here, particularly when you consider that the forex market alone sees an estimated $5.1 trillion traded each day. Make no mistake; however, investing responsibly in the financial marketplace can reap sustained and lucrative rewards, with margin-based returns capable of helping you to earn far more than your initial capital.
This objective is now more accessible than ever before, thanks to the proliferation of technology and online trading platforms such as LCG. These resources offer you real-time access to multiple markets, along with in-depth analytical tools, risk-management measures and brand new asset classes.
Newcomers can even access a demo account on most trading platforms, which offers them access to a simulated and live market environment where they can hone their skills without placing their hard-earned capital at risk.
Buy Some Domain Names
As you can probably tell by now, speculation is the best way to accumulate in the current climate. We have continued our theme with our next step, which is also taps into the rising trends for e-commerce and online business ventures.
More specifically, you can invest in idle domain names that you believe may offer value in the future. These can be purchased for just a few pounds, while you can stockpile these and trade them online in order to make a profit.
The key is to identify domain names that relate to growth industries, as these are most likely to be in demand in the near-term. These can subsequently be sold for a profit, while the sale of multiple domains can build a tidy profit without the need for too much work.