Top 5 Investment Plans to Invest in 2024

It is a modern-day marvel to witness the evolution of UAE from desert land to a business hub in the Gulf. The country has witnessed growth from penurious land to one of the most rapidly flourishing economies in the UAE. The country is currently one of the most popular business destinations all across the globe. The growth of tourism, business alongside the oil and natural gas industry has led to the growth of the economy.

With the rising number of business owners, the investment market has grown substantially within the past few years. Most of the investors that invest in the UAE market have a vision of getting lucrative returns in a very small period with minimal degrees of risks associated. This is one of the primary reasons that investors are always in the hunt for perfect investment plans that offer all of this allowing them to generate and accumulate wealth in the UAE.

In real-time, it is almost impossible to get an investment plan that offers high returns and comes with negligible risks. In actual, risks and returns are interconnected to each other which basically means that higher the degree of return will be higher will be the return rate. The investment market in the UAE is filled with a plethora of investment tools and plans that work in different ways.

If you are looking forward to investing your surplus capital in the right form of an investment plan, we’ve come up with the best investment plans in the UAE to invest in 2023.

Mutual Funds

Mutual funds are undoubtedly one of the most popular forms of investment not just in the UAE but all across the globe. These are flexible, simple and user-friendly invest plans that have a low degree of risks associated with them. Mutual funds as the name suggest are created by pooling capital obtained from numerous investors that share a common objective of investing, growing and multiplying their income.

The pooled capital obtained is invested in different market-based securities to yield returns. The job of investing the pooled capital is carried out by an expert fund manager that analyzes the market and the investor’s portfolio and then invest the capital. The degree of risk associated with Best mutual fund investment is minimal which makes it quite popular amongst investors. Moreover, expert assistance offered by fund managers is another underlying reason behind the everlasting popularity of these investment plans.

Stocks

Stocks are one of the oldest and probably the most lucrative form of investment plan available in the market. One of the major advantages of investing in stocks is that it does not require investors to be in the category of high net worth which eventually makes it the investment tool for all classes of society. Stocks are affordable and allow users to reap high rates of returns by investing amounts as less as AED 100. With the right knowledge of the market and its nuances, one can make a lot of money via the stock market.

Unlike mutual fund investment stocks come with no expert guidance and the entire investment strategy depends upon the investor. In order to start investing in the stock market, all you need to do is to open a Demat account and you are good to go.

Gold

Gold is another popular form of investment tool that has managed to maintain its value since times immemorial. The precious metal has been used since ages as a form of investment. The best part about investing in gold is that it has an exceptional ability to hedge against inflation when compared to other forms of investments. Investing in gold not only diversifies the investment portfolio but also reduces the degree of risk that one might come across during phases of financial instability. Gold as a commodity has a high level of liquidity which basically means that it can be quickly converted into cash.

Investors can invest in gold in two ways i.e. physical gold or paper gold. Physical gold investment refers to investment in gold products like gold coins, bullions, bars, and ornaments. Contrary to this, there are other types of investments that allow users to invest in gold without worrying about the dangers of investing gold in its physical form. These investments are called non-physical form gold investments and include tools gold ETF’s, gold bonds, gold stocks, and futures.

Real Estate

When it comes to investing in the UAE real estate is undoubtedly one of the best forms of the investment plan. Although, investing in real estate requires high capital but the returns are quite profitable. With an ever-rising population and expanding businesses, the requirement for real estate is quite high in the UAE. Investors can purchase properties in the UAE and sell them later to earn a profit. Their effective profit may be defined as the difference between the cost price and the selling price of the property. Apart from capital appreciation investors can receive returns in the form of rentals. An important point to be kept in consideration while investing in properties is that the investment is highly illiquid and requires documentation.

Bonds

Bonds are another form of investment that provides consistent returns coupled with a low degree of risk. However, it is always wise to be cautious while investing in bonds similar to the other forms of investments in the UAE. Bonds have a low degree of risks and quite heavy ticket charges which makes them one of the most popular forms of investments. Bonds are suitable for income classes that fall into a moderate category.

In a Nutshell

The market is filled with numerous investment plans while choosing the right investment plan one should ensure that they thoroughly asses the various detrimental factors like risk tolerance, investment horizon, cost of investment, returns, and capital gains. With some of the most popular forms of investment in the UAE, it is advisable that one should wisely to avoid losses and accumulate wealth.