Types of Invesment

We will look into some of the common investment markets and find out the pros and cons of each the markets. When you understand the nature, risk and reward associated with the investment vehicles then you will be in a position to make a better decision.

Capital Market

The capital market is where government and companies can raise long term funds. This market gathers all the providers and users of capital. The users of capital will offer their securities while the providers of capital will buy the securities.

Example of securities are bonds, Treasury bills, stocks, mutual funds, options and more.

Learn more about the capital marketand successful stock investing.

Commodity Market

The commodity market is where Contracts to buy raw or primary products are exchanged.

Examples of commodities are gold, silver, oil, soybean, sugar, coffee, cotton, rubber and many more.

Forex Market (Foreign Exchange Market)

The currency market or more popularly known as the forex market is a place where one currency is traded for another.

Money Market

Money market is a place where short term securities of less than 1 year maturity are traded.

Examples of money market instruments are Treasury bills, promissory notes, Certificates of Deposit, and commercial papers.

Real Estate Market

Real estate refers to the land and anything permanently affixed to the land. All wealthy people keep part of their wealth in the form of real estate.

Examples include land, residential, commercial and industrial buildings.