Big Picture, Financial Planning, Millennials

5 Types of Alternative Investments To Consider Investing In

In this past, the only things you could really invest in were stocks, bonds, commodities, and real estate you owned outright. However, the world has changed and you can now invest in pretty much anything you want to.

Let’s look at some of the options you have today! 

1) Wine 🍷

Wine has been a valued good for as long as any of us knows. You have always had the ability to buy nice older wines and hold onto them yourself,  but now there are companies like Vinovest that allow you to invest  in wine globally without leaving your home and without needing to store it yourself.

They leverage their global network of connections to purchase wine on your behalf at the most competitive price and then you own all the wines in your portfolio, 100%. You can buy or sell bottles whenever you like and they will take care of the insurance and storage. Many may be asking why people would invest in wine… Over the last 15 years, wine investments have delivered 13.6% annualized returns.It’s an asset class that is worth looking at.  

2) Collectibles 🏎

It used to be that only the very wealthy could have expensive collectibles like sports cards, memorabilia, cars, antiques, etc.  But now with companies like RallyRd. you can invest in things like:

-the first prototype of nike shoes

-very rare sports/gaming cards

-Old limited editions sports car

-a t rex

-NFT’s

And so much more. Rally is a platform for buying & selling equity shares in collectible assets. They rally to make investing behind ideas, emotions, and communities safe, easy, and accessible. It opens up doors to investing in things that only the rich could really ever invest in. Such a cool idea. 

3) Commercial Real Estate 🏨

Everyone says they want to get into investing in real estate these days. Most of these people are talking  about rental properties, but they require a lot of work. I would not describe them as passive.  This is why companies like fundrise exist. 

Fundrise gives you access to premium real estate across the country. They use the collective buying power of their investor community to acquire high-quality assets ranging from debt to equity, commercial to residential, and more. This allows you to invest in real estate but not have to manage it, do background checks, fix things up, etc. 

4) Cryptocurrencies/NFT’s 💻

If you follow me, you have probably have seen that I talk a lot about crypto and NFT’s. I don’t think everyone should invest in them, but I think it is worth learning about.  They are new technologies and art that have taken a large share of the market over the past few years. Are they the future? Is this just like the tech bubble? Are they helping to solve problems in the financial space? That is for you to learn about and come up with your own conclusion. And if you want to, you can invest in them at gemini, coinbase, kraken, etc. 

5) Art 🖼

According to Artprice, blue-chip art prices have outpaced the S&P 500 by 180% from 2000–2018. It is estimated, based on a Deloitte report, the total value of privately held art is around $1.7 trillion. It can be a great asset class for people who love art. 

Companies like Masterworks have made it possible for everyday people to invest in famous works of art. They allow you to buy fractional shares and then they have a secondary market where you can sell your shares to others as well as buy your own. 

As you can see, it’s never been easier to get exposure to non traditional asset classes.  It’s cool that we now have the ability to invest in things that we not only are interested in but also can be good investments!

If you enjoyed reading and are looking for an advisor, here is the link to book your first free meeting with me!

Disclaimer: none of this is advice, it is just for informational purposes. Talk with your financial planner before implementing any of these strategies.