Over the past year, following the onset of the pandemic, the number of individual investors in Russia has significantly increased as people found themselves with more free time during self-isolation and as a result of the record decline in deposit rates. In 2020 alone, 5 million brokerage accounts were opened on the Moscow Exchange.
However, experts advise novice investors against ‘playing’ with speculation and recommend focusing on reliable long-term investments.
That said, we will explore options for high-return investments. High returns come with high risks. Even with the most reliable projects, investors must understand that they are risking their own funds.
Top 5 High-Return Investments:
Forex is the currency market, where transactions involving currency (buying and selling) take place. This market is less stable than the stock market and certainly carries more risk. However, a skilled investor can achieve very high returns here.
For many traders, especially those with a smaller amount to invest, Forex remains one of the most attractive and accessible markets.
Cryptocurrencies. The volatility of cryptocurrencies offers higher profits in shorter timeframes. Cryptocurrencies are quite unstable and can change value at any moment, influenced by various global news events.
Venture investments. These are high-risk investments in securities. An excellent idea that has yet to be realized can also serve as an investment object. The primary risk of such investments is the potential loss of all funds if the startup is unsuccessful.
In our country, venture funds are not well-developed. Venture investors tend not to publicize their investments and primarily invest in IT sector startups. The goal for investors in this case is not only to develop projects and earn income but also to introduce an entirely new product to the market.
PAMM accounts. Advantages for those wishing to invest in PAMM accounts include open trading, the ability to diversify investments, and a security system that prevents the manager from withdrawing funds from the account, allowing them only to manage funds through trades. The essence of investing in PAMM accounts is to generate profits through speculation in the Forex market. In other words, it is a form of trust management that can be compared in profitability to shares in mutual investment funds. The proposed transaction establishes a percentage that determines how profits and losses will be allocated among investors.
Hype projects. A distinctive feature of hype projects is the very high risk of losing investments. These are financial pyramids, surviving solely on the funds invested in them. Such projects can offer exceptionally high returns (1-5% per day) but typically exist for only a few days before disappearing.
While the risks of high-return investments are significant, the allure of making a substantial profit quickly attracts a large influx of investors.