Choosing a reliable investment is an art form. As an investor, you are faced with an almost limitless variety of options, from which you must choose where to place your hard-earned money. Each of these investments come with their own risks, and the ones you select will be determined largely by your tolerance for such risks, along with your long-term financial goals and investment preferences.
Stocks and bonds, of course, represent traditional investments. These, together with cash, are the conventional investment types. Stocks are typically riskier, although can result in large payoffs, whereas bonds are generally considered more secure, although returns can sometimes – though not always – be a little lower by comparison. The stock market in particular, can be extremely volatile, and, as such, smart investors are now looking towards alternative investments to diversify their portfolios and find safer ways to invest their money.
An alternative investment is simply any investment that falls outside the traditional asset classes of stocks, bonds and cash, and include derivative contracts, hedge funds, commodities and real estate. A good alternative investment – such as a buy-to-let property in a thriving tourist destination – is a reliable investment to make, as it will provide additional security to a portfolio that contains stocks and bonds.
Why Traditional Stocks and Bonds May Not Be a Reliable Investment
Buying a bond essentially equates to providing a loan – over time, you will get back your principal with interest. Often referred to as fixed-income securities, buyers of bonds receive interest payments at fixed dates annually over the lifetime of the bond, and then, upon maturity, receive the principal back in one lump sum.
It is in this sense that bonds are considered the “safer” option in comparison to stocks – especially if you invest in government-backed savings bonds.
Investing in stocks can lead to higher returns, but at the expense of taking on a higher amount of risk. When you buy stock, you are buying shared ownership in a company, and whenever the company profits, you profit, too.
However, the opposite is also true. Purchasing what turns out to be a bad stock, perhaps in a smaller company, can often result in a loss.
Nonetheless, stocks are still very popular for retirement savings. The idea is to invest a large proportion of your nest egg in a stock portfolio and hold on for the long-term, trusting that, even in market downturns, returns will eventually be made as the market will surely bounce back in the end. However, this approach takes quite a lot of nerve, and the emotional and psychological impact of watching stock prices tumble during a downturn can be great, and, in such situations, many begin to lose hope of a rebound and begin selling their stocks at a loss.
A Good Alternative – The Resort Group PLC’s White Sands Hotel & Spa
As stocks in particular struggle to qualify as reliable investments, a great alternative can be found in certain overseas property markets, such as the rising tourist hotspot of Cape Verde.
On this tropical archipelago off the coast of West Africa, a rising number of investors have been seeking portfolio-strengthening alternative investment opportunities in recent years. As the country is being increasingly hailed as one of the world’s best tourist destinations, demand for luxury accommodation has never been higher, and so new Resorts and apartment buildings have been – and are being – developed to supply.
One such development is the Resort Group PLC’s White Sands Hotel & Spa – the first of six new developments on Boa Vista Island in Cape Verde. With 835 luxurious properties to choose from – including a range of stunning private villas, duplex and penthouse hotel suites – the White Sands Hotel & Spa offers investors the unique opportunity to purchase a property in a 5-star Resort, and benefit from the high levels of tourism that are set to continue for many years to come.
Visits to the country have been rising 115% year-over-year since 2000, and in 2017 alone, the World Travel & Tourism Council (WTTC) expects the Islands to attract 578,000 tourist arrivals – rising to 728,000 by 2027. What’s more, The Resort Group PLC has an agreement in place with one of the world’s largest tourist companies that guarantees one million new guests to the Resorts over the next three years.
All of this combined, makes for a reliable investment opportunity alone – but with our 12/7/5 Property Options offer, the prospect of receiving assured returns on your investment is made even more stable.
The offer ensures that investors begin receiving 12% assured returns per annum from day one of purchase, right up to the moment that the Resort is complete and open to paying guests. At this point, investors receive a guaranteed 7% net rental yield over the following five years, after which, should an exit be required, The Resort Group PLC will commit to resell the property on the owner’s behalf.
The White Sands Hotel & Spa – A Reliable Investment
The Resort Group PLC’s 12/7/5 Property Options offer represents an unrivalled reliable investment opportunity for investors to both strengthen and diversify their portfolio, and so mitigate the risk that inherently comes when placing absolute faith in stocks.
Choosing an alternative investment to broaden your portfolio is a sensible choice that many smart investors make, and the White Sands Hotel & Spa represents a decidedly reliable investment, offering low risk due to high demand for luxury accommodation on Cape Verde, and assured returns from day one.
If you would like to discuss options for a reliable investment with The Resort Group PLC, please don’t hesitate to get in touch.