It’s common to find people disinterested in Certificates of Deposits or CDs. Most people don’t realize that there’re several investment options that fall between the range of savings account and stock market. Such options often provide guaranteed returns on investment and also don’t require a large capital for investment. Certificates of Deposits are one of those investments.
Certificates of deposit are savings deposit accounts of special type in which a promissory note is issued by the bank. Technically they’re not investment accounts, but still they offer interest rates higher than the normal savings accounts. It’ll be better to call these notes “timed deposits” that come with the restriction of not withdrawing the money before maturity. Interest earned is returned to the certificate holder upon maturity of CD. Interest may be compounded daily, monthly or annually depending on the type of CD that you choose.
Different types of CDs come with different requirements, risks, tax implications, restrictions, fees and insurability. New types often appear in the market as conditions change, and not every bank offers all types. Small CDs come with the requirement of less than $100,000 while Large Jumbo CDs come with the requirement of more than $100,000.
On certain types of CDs you may have to report the interest earned every year as a part of your annual income. However, you’ll get your hands on that interest only after the maturity date of CD.
Requirements for obtaining a CD
Documents: For most basic types of CDs all you’ll need is a proof of identification, contact information and checks etc. if you want to deposit initial funds via check. Ask about the acceptable checks in advance to facilitate the process. Also if you’re setting up a CD for your retirement account or a trust account, prepare yourself to provide some information about your co-workers or beneficiaries.
Sources: People commonly obtain CDs from a bank. This allows them to communicate directly with the bank staff about and also ensures the FDIC verification of CD. You can obtain them from brokers too, but in that case you’ll have to ensure the FDIC verification yourself. Usually purchasing from banks remains straightforward while purchasing from brokers remains more complex!
Early withdrawals of CD
Unlike savings bank accounts, CDs aren’t made for providing money whenever you need. You can’t withdraw money from a CD before maturity date. If you do, you may’ve to pay some part of your interest as penalty.
When investing in land, your exit strategy is an important consideration.
Timing is everything, particularly in how investments pay off. The investor in raw land needs to know when the asset will increase to its optimum sale price.
The goal of all investing is to make money, to sell at a price higher than that at which the investment was purchased. But that simple formula fails to factor in the extremely important matter of timing: how long it takes for the investment to achieve that optimal price, as well as how the timing affects the investor. Taking a good profit in one year might be disadvantageous over taking it in another, largely due to taxation.
The essential nature of timing – when to invest and when to disinvest – affects all classes of investments, both those in the traditional markets (stocks, bonds, REITs) and the less traditional real asset categories (strategic land/hedge, property funds, precious metals, minerals, rarities such as antiques and fine art, etc.). Much of that has to do with the intrinsic (some might call it organic) nature of the investment and how it relates to macroeconomic dynamics, while external factors such as government subsidies and regulations can affect it as well.
A good example is renewable energy in Germany. A robust government sponsored program (“100,000 roofs” and the Renewable Energy Act) fostered small and medium-sized companies (as well as university research in partnership with them) to develop photovoltaic, wind, biomass/waste and hydroelectric electricity sources. With government supports and guarantees, investors had a good sense of where things were going and when. The timing of their disinvestment and payback carried more certainty, which of course attracts more investors.
Notably, in German investors in solar PVs and wind can expect the timing of their returns to be shorter than those in hydroelectricity. It simply takes more time to achieve a favourable return-on-investment from dam construction.
In a different asset category, raw land in the UK, the macroeconomics are well understood: the UK population grew 7 per in the decade to 2011, even while the nation’s home builders have not been increasing residential inventory to keep pace. Consequently, there is a housing shortage that will need to be filled eventually (and the sooner the better). The government plays an important albeit indirect role in that local planning authorities are now given greater reign over decisions about land use designation. In other words, if a local planning authority strongly identifies an area for home building or other development, it is far more likely to happen.
To the land investor, ceding land use planning from national to local authorities is very important to timing – and was long awaited. The Kate Barker recommendations in 2004 (the Barker Review of Housing Supply) looked at rising housing costs and the inadequate supply of new homes to meet the need. The Barker recommendations were factored into the modernised core UK planning principles, which include:
• Objectively identify development needs of an area (housing, business, etc.)
• Drive and support sustainable economic development, which includes the delivery of homes, businesses and industrial properties
• Provide the necessary infrastructure to support new developments
• Account for market signals such as land prices and housing affordability, and set strategies for allocating land in sufficient quantity to meet the needs of people and employers
The well-managed land investment can meet these criteria, and as such is more likely to qualify for expedited approvals. The ability to deliver value to investors sooner rather than later is a clear advantage of this.
Individuals involved in any type of investing should get solid counsel from a personal financial advisor. This investment professional should work independently of any financial instrument to holistically review your investments, goals and anticipated expenditures to determine where an asset would be timely.
There are few fields in the economic sector that are shrouded in as much mysticism as that of trading in stocks and shares. However even more mysterious and yet the largest and most lucrative segments of the same seems to be currency trading. The approximate $ trillion being traded daily in the Forex markets dwarfs the combined $99 billion being traded in all of the world’s stock markets combined.
Forex trading is still in its nascent stages in many countries but is fast becoming a popular investment option. Currency trading can be an extremely profitable business venture, but it is not for everyone. There are many variables involved in the trade whose dynamics have to be understood by anyone who is venturing forth into this field. To become a successful trader you need to first understand what the currency market is all about. Complicated technical systems and information overload can make you slow and confuse you right from the start, making you lose money instead of making your profits grow. In order to succeed you will need to focus on a set of simple trading strategies that you can implement without hesitation. You will also need to have a thorough understanding of the different variables that may affect the position of your stocks in the market, become pro active, spot an opportunity and act on it wisely.
Or you can simply hire the best Forex brokers to manage the investment decisions for you! These professionals will provide you with the best tips and trading information to ensure that your strategies do not fail. Their expert knowledge and understanding of the market has enabled them to ensure that their clients receive accurate market insights for a more profitable and less risky trading experience. As long as you have an expert Forex broker by your side to guide you in your currency trading venture, you will always be safe from the risks of involved in this type of investments. Their expert advice will help you make the best decisions, spot the best opportunities and make the most profit from your venture.
This is why seeking professional help at the right time can help you make the best investments. Hiring the best Forex brokers is a task that every currency trader looks to take up but making the selection often calls for careful screening and research. A thorough background research of a broker, a detailed assessment of his track record, his working style current financial status, experience of past clients and service quality – all these are points to consider. These factors can be assessed in many ways – directly meeting with the broking firm, online checks on their website and third party review sites and a search on social media platforms. The decision to choose the best broker to manage your account will of course be a tough one but once you manage to do it right, most of your trading woes will vanish away completely.
Are you willing to invest in a more long-term and reliable organic traffic source for your website? Then let’s look at a search engine that can assist you in increasing your traffic.
Interview an Influencer or Get Interviewed by a High-traffic Website
Have you heard of Tim Ferriss, the author of the Four-Hour Work Week?
His podcast is nowadays a staple content type that he provides to his viewers. Tim’s show has world-class performers who share their insights on a variety of topics, and he is well-liked on social media. Do Tim’s fans enjoy the show? So far, the show has received over 50 million downloads. On most days, it’s the most popular business podcast on iTunes.
Interviews, whether on video or audio, are inherently conversational, lively, and engaging. The great aspect is that it’s a win-win situation for both sides. The interviewer is exposed to a new audience, while the interviewee is able to provide his website visitors with new fascinating and authoritative information. You can ask an industry influencer to share your interview with their followers on social media if you interview them. Consider the organic traffic you’ll get from their social media followers, which number in the hundreds of thousands. Consider the level of interest generated by a prior Derek Sivers interview on the Tim Ferriss Show. Derek shared the show’s URL with his 283K followers on Twitter. It won’t hurt if you establish a relationship with the influencer as a result of the interview.
Similarly, being interviewed by a high-ranking website can result in a significant increase in search engine traffic. Harsh Agrawal’s blog, Shoutmeloud, received 35,000+ views in a single day after he was profiled by YourStory. That was the blog’s most popular search engine traffic source (with 600,000+ monthly visitors). Because interviews provide consolidated value, they can be used as a long-term lead generating source for your company. Consider how many bloggers you’ve learned about through interviews on YouTube and other high-authority websites.
You may also conduct a Reddit AMA if you have a very compelling storey to tell. Mateen’s AMA got about generating $85,000 in profit by selling TeeSpring shirts/hoodies received 2000 page views. He also boosted the number of visitors to his website on a daily basis.
By registering as a source with HARO, you can also answer queries from journalists. On HARO, Christopher from Snappa came across this question from Inc Magazine about the future of content marketing. He swiftly responded with a thorough response. He was mentioned in Inc a few weeks later as a result of this. HARO is an excellent strategy to have your brand mentioned on authoritative news sites such as Entrepreneur and Inc. Those backlinks will enhance your search engine traffic and increase your marketing strategy by improving your reputation in Google’s eyes. Contact an SEO agency to find out how you can do this and how they can manage it for you while you work on the bottom line of your business.