The best investment is sometimes not the most obvious!
By: Stephen Todd

When most people think of low risk investments, they tend to choose from the following:
· Bank deposits
· Bank savings accounts
· Money market accounts
· Fixed income bonds
· Blue chip stocks
· Mutual funds

There are however, other low risk investments to consider that, in terms of long term capital growth potential can yield far higher returns with low risk. A high yield on an investment does not necessarily mean taking a high risk. Let’s look at the options and analyze the risk / reward:

Bank Deposits, Money Market, Fixed Income, Savings Accounts

These represent probably the lowest risk investments you can have, and their return reflects this. Your money is safe, but you are unlikely to get rich quick and your capital may not even keep pace with inflation.

Mutual Funds

The fact is that most asset management by professional advisors is poor over the longer term, and is unlikely to be above the 10% level and will probably be substantially lower.

Blue Chip Stocks

With the performance of fund managers being poor, many investors simply try to make their capital grow by picking blue chip stocks and holding them for the long term. Again, performance of this buy and long-term hold strategy normally produces poor long-term growth.

What Returns can You Expect with Low Risk Investments?

You already know you are not going to get rich quick (and neither should you expect to), but wouldn’t you like a low risk investment that produces double-digit capital growth?
Furthermore, wouldn’t you like an investment that, unlike the stock market, has shown better capital gains longer term with lower volatility? Well, if you are considering low risk investments consider the following:

UK Land - Low Risk and High Rewards

Land can be considered a low risk investment and remains one of the major secrets of the world’s wealthiest investors.

Donald Trump and Howard Hughes are just two investors that have made billions in this area. In fact, many of the world’s wealthiest investors have become rich from land investments.

The Facts about UK Land Growth

In the last 20 years UK average land values have increased by nearly 1,000% and growth in the last year exceeded 30%! Now consider this is the average growth, with careful selection of land plots capital gains achieved by astute investors have been much higher.