What to Invest in When You Are Young | Ideas and Advice

What to Invest in When You Are Young | Ideas and Advice

The world of investment has always been associated with people of advanced age and/or with a high purchasing power. A concept that has changed nowadays thanks to information and the evolution of investment services. 

Clearly: it is possible to invest from a very young age and the amounts can be small. But in which products, you may ask. Let us explain it to you: 

Classic Investment Products

Investing in the Exchange Market

You can, for example, invest in the stock market anywhere in the world by prospecting, which used to be impossible in the past. 

The amounts to be invested can be very modest and the profitability can be obtained via dividends or by the increase in the price of the shares. 

To operate there are online brokers and software like a Bittrex trading bot from which to make crypto investments you want – with absolute freedom, ease, and automatically.

However, be careful. You can also lose real money. Therefore, it is advisable to learn and be trained beforehand. For the first steps, we recommend that you do it with the help of a trustworthy site that can guide you on behalf of trading experts. 

Real Estate Market 

Investing in the real estate market by buying a house is becoming one of the most exploding and competitive markets worldwide. Over the last few years, more and more young people have been looking for the opportunity to own a home at an affordable cost – although most of them, with no luck. 

Still, real estate is an almost sure bet. However, not all young people can afford to invest in a plot of land or a newly built house, which closes this possibility to many out there with big dreams. 

This investment bets on two returns: that of the rent of the house and that of the capital gain that can be obtained by the price increase.  

It is necessary to be careful with the oscillations of the price of the house because as it has been demonstrated in the last years these can go down and produce losses. 

Although it is true that since rents have risen so much, it is possible to obtain good returns from a real estate investment, it is also necessary to listen to the voices that speak of high rents that could also suffer oscillations.  

However, there is no prospect that this will happen for now because there are no policies in place to facilitate access to housing with low rents. 

Currently, there are real estate investment platforms that offer the possibility of participating in the purchase of real estate with small annual amounts.  

This type of investment is called real estate crowdfunding and is carried out through platforms. The experience of this type of investment is still too limited to draw conclusions about its goodness. 

Less Classic Investments 

Investment in Precious Metals 

It can be a very good investment in times of crisis because gold and silver tend to become safe haven securities and make their value increase. Before investing in these products, get well informed. 


There is another form, Crowdlending, which is lending between individuals. A small amount can be lent to a company or an individual to finance their business.  

It is a regulated and supervised activity with very high returns, but this involves more risk: the problem could be that the business isn’t going the right direction you were hoping for. This means that the person who received your cash, simply can’t pay back. 

Nevertheless, thanks to all sorts of online platforms, the range of possibilities to invest in something is endless. Here’s just a small list of other things you could invest in with a limited budget in 2022: 

  • Cryptocurrency (obviously)
  • Bottles of wine
  • High-end watches
  • NFT

 However, the problem of investing in less liquid or regulated markets is great and should always do it very well informed. 

Advice Before Starting to Invest 

  1. Be wary of high returns because they do not exist. When you are offered returns that are out of the market, you should think that it is possibly a scam or a pyramid business where the last ones to arrive pay. If you are young, a great investment is yourself. 
  2. Invest in your training, it will be profitable in the long term, it will allow you to access the labor market and occupy the best positions.
  3. It is necessary to distinguish between real investments, which are intended to produce a specific good or service, and speculative investments that do not create wealth and bet on the oscillation of the price of the good.
  4. It is necessary to have a minimum knowledge of the business or the market where the investment is made. Otherwise, it is very likely to be a mistake. In case of not possessing suitable knowledge, it is advisable to resort to the advice of professionals.
  5. When it comes to a new form of investment, it is advisable to be extremely prudent, wait a while, and see what happens before jumping into the pool.
  6. It is always necessary to assume some risk, there are hardly any safe investments, and the profitability is proportional to the risk.
  7. It is advisable not to put all your eggs in the same basket. What we mean by that, is that you should diversify your investments so that if a loss occurs in one, it can be compensated by the profits of another.
  8. It is not advisable to invest everything you have. It is necessary to distinguish between investment and gambling. A good investor is prudent, cool, and always has his back to the wall.

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