The golden rule to investing

Diversification is probably the number one rule when investing, as you should avoid putting your eggs in one basket with it being advisable to be in possession of the asset to eliminate 3rd party risk, before bitcoin came along the only options you had was to physically store an asset like gold, fine art or property, with a good portfolio being a 1/3 of each.

However I'm not particularly rich and I don't have a safe let alone a house where I can store these kind of items so what choice do we have in a world of 0% interest and fiat currency with all the central banks in the world on a mission to print as much currency as they can otherwise known as quantitative easing?

Crypto

Having a diversified crypto portfolio is good with the most stable being the ones with the biggest market cap i.e. bitcoin and ethereum but if you had all your money tied up in crypto you would be in a bit of painful position right now having to sell as the price are about 50% lower than they where in January with the sensible money currently buying and not selling.

So as much as we hate fiat it is always good to have some cash lying around, although maybe not in a bank account as your risking leaving your money there with 0% compensation for taking that risk maybe 0.5% if your lucky.

P2P lending

As the banks are now failing to carry out their traditional function of lending money out for interest and providing holders with a return we must look for new ways to generate a return, enter p2p lending, in the UK their are many websites offering this function with the biggest of them being Zopa

About Zopa

• Founded in 2005
• Over 300 Zopians working in our London and Barcelona offices
• Over £3.30 billion lent to UK consumers
• Approximately £1 billion has been lent out in the last 12 months
• Over 60,000 active individual investors (average amount lent: £13,000)
• Over 311,000 borrowers approved (borrowing on average £7,700)

With returns averaging around 5% I think this is a great platform to invest in and if you use my referral link below we will both get £50 each when you invest £2000 or more.

https://www.zopa.com/lending/mgm/4a0e42bb3ee1