There are no sure things when it comes to investing, but some bets are better than others, especially when it comes to foreign investments. While some new investors like to start small with a few stocks, others choose to diversify and spread their money around in far-flung places, like foreign markets. If you’re in the latter group, remember to always proceed with caution, and consider starting in these relatively safer investments.
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Commodities
Commodity markets are always volatile since they are easily disrupted from the whims of mother nature and overbearing governments. However, there is a lot of information available on commodities around the world. For example, it’s easy to learn which countries specialize in growing wheat — China, Europe, India, etc. — and coffee beans — Columbia and Ethiopia. In addition, there are plenty of resources available — online and at the library — that cover everything from government stability to weather patterns.
Real Estate
No matter what country, people need places to live, shop and do business. Although real estate booms can go bust at any moment, there are always countries that are experiencing population booms — meaning more housing and building — that continue for several years. Thus, foreign markets are ripe for making scores in both residential and commercial properties.
Mutual Funds
If you would rather not do all the legwork yourself, consider putting money into an international mutual fund. They are the best bet for investors that want to invest in foreign businesses but don’t know where to start.