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24 April 2023 15h35
Source: Banco Carregosa

4 investments other than direct investment in real estate

4 investments other than direct investment in real estate


Real estate transactions in Portugal still rake in much higher investments than other investments such as stocks, bonds or cryptocurrencies. This market is one of the most attractive in our country and has managed to remain so even during the pandemic. However investing directly in real estate means high upfront costs, a long payback period and reduced liquidity. Fortunately, real estate is no longer the only option for even the most conservative investors. Here are 4 investments other than direct investment in real estate.  



1.Indirect investment in real estate 


Investing through vehicles with exposure to real estate can be a way of gaining exposure to this market without experiencing some of the difficulties most associated with direct investment: high upfront costs and the greatest difficulty in selling when needed or to realise added value.


It is therefore possible to invest in vehicles, such as investment funds with exposure to the real estate market.  



2.Government bonds  


Investing in government bonds is an investment option that involves the purchase of debt securities issued by the Portuguese State. The different types of government bonds you can invest in include Treasury Bonds (OTs), Savings Certificates and Treasury Certificates Savings Growth.One of the reasons why investors prefer this type of financial product is that it offers guaranteed capital and a remuneration that can, in some cases, be higher than that of term deposits. In addition, the risk of losing the invested capital is lower and the subscription amounts are low, especially for savings certificates.  



3. Asset Management 


If, like direct real estate investment, the aim is to hold the investment for a number of years, asset management may be a solution to consider. By investing in these solutions, you are delegating the management of your investment to a specialised and dedicated team that will follow an investment policy according to your risk profile and/or preferred asset classes).  



4. Gold  


Gold has always been seen as a safe haven asset, protecting capital from crises and inflation. Like any other investment, gold can be subject to fluctuations. However, it is generally more stable than stock and bond performance. It can also be a good way to diversify investments with assets that will protect the investor in times of uncertainty.  



Banco Carregosa, protecting your investments since 1833  


These are some of the investments, in Portugal, other than real estate that are worth considering. However, before taking the first step, it is important to carefully assess your options. You can count on the experience and knowledge of the Banco Carregosa experts to help you identify the assets that will best fit your overall investment strategy and portfolio. You can rest assured that your assets are in safe hands.