Investing

How is it that most of the world’s richest individuals accumulated their wealth through investing and not from active (earned) income?

The simple answer is that the effects of inflation erode the value of money year-over-year, so investing is an absolute must. Plus, a person is limited by their time, while investments can be infinitely stacked and work for you while you sleep.

Are you ready to start your investing journey? Keep reading to learn about 15 common types of investments and how they work. [Read more…] about 15 Types of Investments (And How They Work)

Key Takeaways

• ARR is  formula that calculates the annual percentage rate of return expected from an investment, compared to its initial cost.

• ARR is a simple calculation that can be done on the back of a napkin.

• IRR is a more complex equation that is best calculated with a spreadsheet or calculator.

• IRR stands for Internal Rate of Return. It lets you estimate the future profitability of potential investments.

• IRR lets you factor in the time value of money, which ARR does not.

• IRR is preferable if you won’t earn cash flow from an investment evenly over time.

[Read more…] about IRR vs. ARR: What’s the Difference?

Are you interested in real estate investing but unsure of the responsibilities that come with it? Investing in real estate can provide you with a steady income, but it’s a lot of work for one person to manage. If you’re not up for the challenge of being a landlord and the headaches that it carries, then real estate syndication is an opportunity you should consider. [Read more…] about What is Real Estate Syndication? Everything You Need to Know