For investors, 2023 has been an excellent year. All traditional investments, including stocks, mutual funds, real estate, and gold, produced returns that were higher than normal. Will it, however, persist in 2024? Will investors be better off staying safe or trying something different as the world prepares for numerous crises and Lok Sabha elections are scheduled in India? It’s time to break free from the herd mentality, according to some experts, and 2024 calls for bold diversity in your portfolio. Shall you leave the well-travelled path and venture further? The following is a list of unique investments that could do better than the rest.
Real estate fractional ownership
Aman Gupta, Director of the RPS Group says that fractional investing in real estate might be a good option for people looking to invest in real estate with a smaller initial investment because in this case, multiple parties collectively own a portion of the real estate. Access to real estate opportunities that might otherwise be financially prohibitive is made possible. Examine the potential risks and benefits of this kind of investment before determining whether it aligns with your financial goals. Important factors to consider include the developer’s background, the location, and the date you plan to begin making money, according to Gupta.
Putting money into rental properties
Purchasing real estate for Airbnb could have several benefits, including the potential to get higher rental income than traditional leasing, flexibility in how the property is used, tax advantages, and the potential for property valuation to rise. The founder of SpaceMantra, Nidhi Aggarwal, stated. Yet, she continued, “It is not without its challenges, as managing properties can be challenging and there may be regulatory issues in some areas.”
IPOs for SMEs
Agam Gupta, Executive Director of Shar? India Fincap, states that investing in SME IPOs may have potential benefits, including high development potential. Since SMEs frequently have significant development potential, investing in their IPOs may allow investors to influence the SMEs’ initial stages of expansion. Adding SME initial public offerings (IPOs) to your investment portfolio can increase diversification and potentially reduce overall risk by spreading assets throughout various industries and firm sizes. Additionally, it enables investors to get a head start on potentially lucrative ventures, which might yield substantial profits if the business performs well in the market as a whole. However, it’s crucial to keep in mind that they come with increased dangers, including more volatility, limited track record information, and liquidity difficulties.
