Ten Ways To Earn A 10% Rate Of Return On Your Investments

by Hank Coleman

Kiplinger's Personal Finance MagazineAre you getting the best rate of return on your investment? The market is heating up but are your investments? Kiplinger’s Personal Finance Magazine just discussed 45 ways to boost your investment yield in their latest issue. I have to say that I was pretty disappointed in their recommendations. I love the magazine, but I didn’t really care for a list of mutual funds and Exchange Traded Funds (ETFs). I wanted concrete ideas on how to earn a 10% annual rate of return on my investments.

US Treasuries are earning less than 1% and money market funds are not fairing much better. Certificates of deposit are barely scraping by at 2% or so even for the longest maturities. Last year the S&P 500 Index finished up over 13%, and this year has started off just as well (knock on wood) with the market up another 14% year to date (YTD). But, are these levels going to last? The stock market has returned an after of 8% annually over the past century. So, where can an investor find 10% when the market retraces or moves sideways?

10 Ways To Earn A 10% Rate Of Return On Your Investment

Peer-To-Peer Lending Has A Great Rate Of Return

Peer-To-Peer Lending through companies like Lending Club are my favorite way to earn a rate of return over 10% annually. Lending Club‘s most conservatively A rated loan earns over 6% for the investor. It does not take long or much more risk to earn over 10% returns. And, Lending Club‘s most risky investments earn a rate of return of over 20% annually.

I’m a huge fan of Lending Club and have recommended investors adding Lending Club loans to their investment portfolio for years here on Money Q&A. Be sure to check out my interview with Peter Renton and Lending Club’s CMO, Scott Sanborn, on our podcast, “Your Money: Your Choices” two weeks ago.

Starting Your Own Business

I am a huge fan of starting your own business. I wish everyone would have the entrepreneurial spirit. It was one of the best ways to earn a 10% rate of return on your investment. Whether it is opening a neighborhood restaurant or as simple as starting a blog, a business venture is a great way to boost your investments’ returns.

Short-Term Stock Trading

Granted, short-term stock trading is not for everyone and should not be done with a large portion of your entire investment portfolio. Trying to time the stock market is a rough way to earn a 10% rate of return on your investments, but it could be well worth your time and efforts with a small portion of your investment portfolio.

I have been using Jason Bond’s Swing Trading service for the past three months, and I’ve been having a blast trading stocks on a short term basis. And, even better, I’m up 15% over the course of the past 12 weeks. That’s a lot better than 10% annualized of course. Jason Bond Swing Trades is a service that teaches investors how to, not day trade, but invest in small cap stocks which are held only a few days or weeks. You can follow along as Jason trades his own portfolio, mirror his trades, and learn the ropes of short term technical analysis trading. I was skeptical at first, but I have actually really enjoyed getting back into stock trading. It also doesn’t hurt that I’m up!
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Why Facebook And Social Media May Be Ruining Your Career

by Hank Coleman

Understanding the purpose of life insuranceSome estimates say that almost half of all Facebook users age 18 to 34 check their Facebook accounts right when they wake up in the morning. Over a quarter even check their friends’ statuses before they get out of bed. Twitter addiction isn’t much better. One study says that over 20% of Twitter users use their accounts as their only means to find out the morning news.

While there is a growing explosion of the use of social media and its addictive properties, there is a danger to its overuse as well. American workers and companies are feeling the wrath of overuse and unhealthy social media use during company time. It can be detrimental to your career as well which has the potential to impact your wallet.

You Are Not Working

Believe it or not, but your employer hired you to work. They didn’t hire you to update your Facebook status. While you are playing around on the internet and at different social media websites either on your work computer or your smart phone, you are not working or earning a profit for your employer’s business. This is the number one detriment to your career when it comes to social media websites at work. How much more productive could you be to your job if you didn’t update your status? How many more great ideas or new business leads could you have come up with during that time? We are all a function of what we accomplish at work, and you will accomplish less if you are not actively working.
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This Week’s Podcast with Peter Renton from Lend Academy

This week on Money Q&A’s podcast,  “Your Money Your Choices”, we talk to Peter Renton who is one of the subject matter experts on Peer-To-Peer Lending. He’s the publisher of Lend Academy and the author of “The Lending Club Story“. In the podcast, Peter talks about how easy it is to get started investing in peer-to-peer lending through [...]

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Switching Business Gas Tariffs: It’s Easier than It Looks

Whether you’re a domestic or commercial customer, keeping an eye on your energy tariff is imperative if you want to pay the least you can for your energy use. Comparing suppliers is often much easier than you may expect, whether you’re comparing for home or business gas. In fact, while many people may think that [...]

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How to Find Your First Accountant And Personal Finance Team Member

Finding a trustworthy accountant can be a difficult decision. Plus, finding an accountant that matches your needs and has experience with your type of business can also be difficult. But, if you’re generating solid income from your business, and no longer have time for the bookkeeping, hiring an accountant can be a worthwhile investment so [...]

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How To Use Prepaid Debit Cards To Budget For Big Purchases

This is a guest post by David Silverstone who writes about personal finance, credit cards, and debit cards on the website, Credit Card Insider, which is a credit resource, providing plain-language guidance from industry leaders. Credit card debt is huge in the U.S. Last year, the average American household’s credit card debt was equal to $15,799. [...]

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