Simple, Practical, And Small Capital, These Are 5 Recommended Investment Products For Students

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JAKARTA - Everyone should have the ability to manage finances well. Whether it's those who already have their own income or who still rely on money from their parents, financial management skills must be honed as early as possible. This also applies to students or students.

One example is getting used to investing. Investment is very important to do immediately because it can increase the value of money over time and make it not run over by inflation. In addition, investment is also able to make it easier for you to achieve financial targets more quickly and on time.

In addition, there are various investment products that can now be easily proposed and have a practical way of working. The capital needed is also fairly affordable, even starting from only 10 thousand. Well, for those of you who are students or students who want to know what kind of investment instrument is suitable to choose, consider the following 5 recommendations.

1. Mutual Funds

Mutual funds are one of the popular investment choices among many investors, including young investors such as students. This is because this instrument is an ideal choice for novice investors who do not have much experience in the investment world.

So, mutual fund investment instruments can be a means to understand the world of stocks further, including how to buy, analyze the market, to find out when to buy or sell.

Basically, a mutual fund is a capital management activity carried out by many investors at once. Capital management is carried out by investment managers by allocating it to a number of certain instruments that have been analyzed, such as bonds, money market mutual funds, or equity mutual funds. In addition, mutual funds are also included as investment instruments with very small capital.

After buying a mutual fund product, your invested capital will be combined with funds from other investors. Then, the investment manager will manage it to a number of selected instruments until finally able to get a profit.

2. Gold Investment

Another investment instrument recommendation that is no less interesting for students to choose is gold. Make no mistake, this precious metal still has a promising return or profit potential when compared to other investment instruments. In fact, the returns provided by gold investment were able to offset the JCI, even surpassing it.

There are various reasons why gold can be a promising type of investment, such as, low risk of being crushed by inflation, always has a lot of interest, and has a high level of liquidity. Therefore, for those of you who invest in gold, the process of selling it into cash can still be done in a relatively short time.

3. Investing Deposits in Banks

Similar to gold, deposits can also be an investment option that has a low risk level, but is still able to provide promising profit opportunities. The interest rate that can be benefited by deposit investors is about 5 to 8 percent per year excluding tax deductions.

Deposits have a fairly simple way of working, where customers deposit funds in a bank deposit account and allow them to settle for a predetermined period of time. Therefore, it is not surprising that novice investors generally choose this instrument.

However, these funds may not be disbursed before the duration expires according to the provisions or agreements. If not, there will be fines that must be borne and can be detrimental to investors.

4. Invest in Fintech P2P Lending

Did you know that P2P lending fintech companies don't only provide loan services? Instead, the service also invites investors to invest so that it can be loaned to the borrower and provide benefits according to the agreement. No half-hearted, the return that can be obtained from this investment reaches 20 percent per year.

However, the risk of this investment instrument is also quite high because there is a possibility that the borrower or fintech customer will not be able to return the funds that have been borrowed. So, make sure to understand the risks of this investment and not just be tempted by its high profit potential.

5. Stock Investment

For those of you who want to invest in instruments that can provide high returns, stocks can be the best choice. When compared to other instruments, the rate of return on stocks is arguably very high. However, this is of course directly proportional to the level of risk which is also equally large.

If not for long-term investments and owners of an aggressive risk profile, investing in stocks is actually not recommended. Especially if you still don't have enough experience in the investment world.

However, when you are able to analyze and read stock market movements, stock investment can provide lucrative profits.

Investment Is a Financial Service That Anyone Can Do Now

Those are 5 recommendations for investment products that are suitable for students to choose. With a way of working that is fairly simple, practical, and can be started using small capital. Now, anyone can make investments as long as they choose the right investment instrument according to their needs, risk profile, and financial targets in order to be able to provide optimal benefits.