As 2018 continues apace, it has shown that Manchester remains an amazing place to do business. From the thriving tech scene to a steady stream of top talent from the city’s four universities to recruit, and a vibrant economy, Manchester is a thriving UK business hub. Of course, this means that there are many Mancunian entrepreneurs out there who may be looking to invest some personal money or business profits.
But what are the best ways to get involved with investments as a newcomer?
Invest in the stock market
Probably the first market many entrepreneurs consider investing in is the UK stock market. It is easy to see why – not only is it pretty simple to do these days, it can also be entered into with relatively little outlay. The handsome returns on offer if you make the right deals are extremely attractive.
It is important to fully understand how the markets work before you start trading. It is also vital to keep up with the latest news and upcoming events on the stock exchange. Following a weekly stock calendar is a great tip as it will ensure you are aware of any upcoming events that might affect your investments.
What other investments could you make?
Once you have considered investing in the stock market, you may be wondering what other investments are open to you. Below are some additional investment ideas:
- FX market – after the stock market, some people try trading on the Foreign Exchange market (Forex). This involves making trades via an online broker to predict if the price of a currency pair will go up or down. With a daily trading volume of around $5 trillion, this is a very liquid market with lots of opportunity to make serious money. A warning! Be careful because Forex trading is a bit like gambling and the inexperienced trader can lose money very quickly.
- Exotic asset classes – if currency or stocks don’t float your boat then there are some other more exotic investments you could make. Fine wine has been a consistent performer over the years as long as you invest for the long term and in the right ones. Classic cars are an investment class that has seen growth recently as more people begin to trade in them globally. Naturally, you need to know what you are doing with those kinds of specialist investments, but they do offer a good return for Mancunian investors who do.
- Peer to peer lending – you may have heard of popular companies in this investment sector such as Funding Circle. With peer to peer lending, you lend money to business start-ups to help them become established. When they are profitable you get your money back with any agreed interest.
Investing for Manchester based entrepreneurs
If you are based in Manchester and are running a profitable business, then you may have some spare money to invest. The above are great tips on how to do just that and hopefully to see a good return on the initial outlay. While no investment is ever a certainty, the above are tried and tested ways to make your money work harder for you.