Passive income producing assets for quick passive income and quick active income are among the top assets to develop wealth quickly. For me, owning assets which produce passive income is an important part of building wealth quickly. So if YOU’re serious about having more cash and making more money, then read on to find out about passive income generating asset based strategies. I’ll tell you my favorite simple strategies that create cash instantly without investing or risking a penny!
If you’re not familiar with these terms yet, don’t feel bad…it can be confusing at first. Here are two examples. Let’s say you’re a landscaper who grows vegetables on a large scale, like hundreds of plants per acre. You have two income sources…you get paid from selling vegetables, and you get paid by the crops themselves. If you grow more than enough vegetables to sell, you can literally do this without ever putting money into the business.
Another example of an income source with very low risk involved is getting dividends from stock ownership. It’s really easy…you get paid a dividend each year, and you keep that dividend in your pocket. The dividends aren’t tax-free, but they are tax deferred until such time as you withdraw them…which we all know is over the years. There are dozens of strategies you can apply to dividends, but my favorite dividend yield investment is buying a cheap low-risk penny stock.
CDs are another excellent income producing asset…but the problem is that many people don’t know what their interest rates are. This is where interest rates are controlled by your central bank…in other words, the bank determines your interest rate. If your bank is raising interest rates, it means your CDs will be more expensive, and that will drive up the price of your stocks.
Here are two examples of income producing assets where most (if not all) of your investing portfolio is held in a bank…your savings accounts and your certificates of deposit (CDs). CDs are investments that mature quickly…and they give you cash flow almost immediately…most times within a year. Savings accounts, on the other hand, mature gradually…at least they do if you are lucky. So if you don’t have any cash flow coming in from your savings accounts, your best bet are certificates of deposit.
Passive income producing tools are just as easy to find as your index mutual funds…the trick is finding the right ones. For example, I do really like to invest in things like real estate and the stock market. I love to read financial magazines and I really like to go to new blog sites to see what new ideas are popping up (I also like to go to new restaurants and car washes). If I am able to find blogs and websites that are written about topics that are interesting to me, I know that I will be able to find something of value there.
Another thing I look for in an investing program is how active the blog/website is. Some investors just like to put their information on the blog…that’s fine, but if you are investing you should be actively participating in the discussions. Ask yourself…do I participate in the comments on blogs that are promoting affiliate offers? Do I participate in the discussion of online forum threads?
Passive income producing tools can be found everywhere! There is no reason why investors can’t start investing in their own portfolio full of index mutual funds and certificate of deposits. There are plenty of opportunities for active participation by investors with solid track records. You simply have to take advantage of them.