Our best stock market investment broker: XTB
To invest in the stock market, you must choose a broker that will allow you to buy shares and list them. In order to save money, we recommend opening free broker account : we recommend XTB, commission-free broker (even for US stocks), which offers a wide selection of stocks and ETFs. Ideal for diversifying your investments worldwide! Check out our full XTB review.
Real estate is still profitable, but in what form?
Real estate is the favorite investment of the French. Indeed, investing in stone can be an encouraging operation, but it must be calculated.
Investing in rental property is sometimes interesting, but it’s done after a long study of the city where you want to invest. You have to find below-market properties, upgrade them, find tenants, manage entrances and exits… a lot of time should be devoted to managing your propertyand the risk of non-payment or loss still exists. For all these reasons, the Jepargneenligne team recommends investing in SCPI, which is one of the best long-term investments and even for retirement.
SCPI: 4 to 7% yield
SCPI (or Societes Civils de Placement Immobilier) real estate investment companies. They control many properties! The advantage for investors is that the company itself takes care of buying the most profitable objects, managing them, carrying out works and renting them out. Investors then receive dividendsusually every quarter, and sometimes every month, with a profit of 3 to 7% per year net!
The other side of the coin is the entry fees, which average 8% but can go up to 12%. Adding in the first three months of no income (the time that money is invested) gives an average of three years to start making money in SCPI. Therefore, in order to reduce the impact of these costs, it is recommended to invest as long as possible!
How to buy SCPI shares for real estate investment?
In order to reduce the entrance fee, we invest in SCPI through broker Louve Invest, which offers 2.5% cashback on entry fees (2.75% via our link!). Find out our opinion on Louve Invest broker.
It is also possible to get SCPI through life insurance: then the costs will be slightly lower, and after the eight-year anniversary of the treaty, the capital gain will be reduced by 4,600 euros per year per person (9,200 euros per person). pair).
Profitable investments in the short term: real estate crowdfunding
Real estate crowdfunding is the most profitable short-term investments that exist. However, it ranks third in this overall classification because it entails a hold on the money invested that can last between two and three years. This investment is to lend your money to a promoter so that he can carry out the construction of his project: we explain the whole principle in our real estate crowdfunding guide.
Crowdfunding in real estate: income from 7 to 11%
When investing in real estate by crowdfunding, the funds are blocked for the duration of the construction of the program. It can go from 2 to 3 years, and it happens that sometimes some projects are delayed. After completion of construction and sale of apartments, the developer reimburses all participants with an interest rate of 7 to 11% per annum (9.2% on average).
How to invest in real estate crowdfunding without risk?
Namely, that in very rare cases, it happens that the project goes wrong and it is canceled if the promoter goes bankrupt. If no solution is found, there is a risk of capital loss. That’s why we advise you to go through a platform that carefully analyzes each project and has no flaws since its inception, such as Homunity, our favorite crowdfunding platform.
Invest money that pays monthly
SCPI: the ideal solution for a stable income
Just above, we mentioned SCPI as the second best investment in the long run. But for the category an investment that pays off monthly, SCPI is a big winner !
Indeed, if you are looking to invest in investments that guarantee a monthly or quarterly annuity, all SCPIs are found. There are so-called productivity SCPIs that focus on the most profitable investments at the moment and pay rent more regularly. We just wrote an article about the best SCPIs in terms of performance. To receive a monthly pension, we advise you to invest directly rather than through life insurance, because this will allow you to regularly receive rent and be able to use it as income immediately, without having to request withdrawals from your life insurance too often.
Dividend stocks ideal for diversification
If you don’t want to invest all your money in real estate even for a steady income, you can diversify by buying dividend-paying stocks. Indeed, many corporate securities are known to regularly pay high coupons to shareholders. France has, for example, Total, Engie, Rubis, Coface, Imerys, Axa, TF1, M6, Crédit Agricole, BNP Paribas or Société Générale (not a complete list). But don’t put all your eggs in one basket and learn about dividend stocks from around the world ! If you don’t want to risk making the wrong choice, you can invest in a dividend ETF that doesn’t repeat its entire benchmark index but focuses on companies with high dividend yields.
|To make this strategy optimal, we advise you to familiarize yourself with the dividend payment schedule and make sure that your portfolio receives dividends throughout the yearand not just twice a year. Be careful to do extensive research before investing because dividend stocks are often much more volatile and can be hit hard by a downfall.|
Best Securities Account Broker: XTB
To ensure that your dividends are immediately available, we advise you to invest in a securities account, not a PEA (in which the money is locked up for five years). The best free broker offering a regular securities account is XTB, which allows you to invest worldwide for free, as we explain in our XTB review.
Cryptocurrency savings books with high risk but high potential return
Crypto brokers today offer crypto savings books, with interest paid monthly or even weekly. We are aware of the volatility of cryptocurrencies (the recent crash has proven this to us…), but it is an investment to consider. if you want to diversify your portfolio.
For example, if you have Ethereum, you can put them in a crypto savings book (with a commitment not to sell them for a while) in Nexo and get 6 to 8% per annum! You can also open a cryptobook in USDT, a dollar-indexed cryptocurrency, which drastically reduces risk and can be very profitable: up to 12% per year! However, be careful with currency risk, for example, if the euro rises after the sharp fall it experienced this year, your savings account could depreciate… Check out our opinion on Nexo here.
Find a profitable investment, risk-free and affordable
Eurofund, the most profitable risk-free investment
Risk-free investments available at any time generally very disadvantageous. One of them is an exception: a fund in euros. These investments are available through life insurance or a retirement savings plan.
If euro font rates have always been attractive, they have dropped significantly in recent years. : we have seen below 1%, the highest ones do not reach 3%… Moreover, in order to take advantage of a good rate, you usually have to invest part of your savings in units of account, which is not guaranteed. However, with rising interest rates, Euro fund yields could rise rapidly in coming years ! So it’s a good idea to start investing in it now. Discover our comparison of the best euro funds to start investing.
Are booklets profitable in 2022?
We know it bank books are the least profitable investments today. For example, Livret A is 1% at the time of this writing and should rise to 2% soon, but it is still very far from the 4-6% inflation expected this year.
But there are some exceptions. For example, LEP (People’s Savings Book) this is a booklet with twice as much as booklet A ! So very soon LEP could increase to over 4%! To be able to open an LEP, your income must not exceed a certain ceiling, everything is explained here. If you qualify, don’t hesitate!