Mike Eisenga Reveals 3 Safe Places to Invest Your Money for the Future

Volatile assets can significantly jeopardize your financial security. That is why it’s crucial to invest in safe, stable assets that can maintain a steady growth rate. As recent events have shown, the economy can quickly turn upside down, and even seemingly secure investments can falter. The best option is to temper your high-risk, high-return investments with other investments that have less risk.

Financial stability is a goal that all Americans strive for. So today, former Columbus Mayor Mike Eisenga is here to explain three safe places to invest your money for the future.  

1. Certificate of Deposit (CD)

Certificates of deposit (CDs) might be one of the safest investment assets out there and essentially function as a high-yield savings account. CD accounts pay a consistent interest for the term of the deposit while holding your money for a specified maturation period. Banks offer CDs for 1-year, 3-year, 5-year, and other intervals. 

In general, CD accounts have a penalty for accessing funds before the maturation date, but many banks now offer no-penalty CDs. They also tend to have low minimum deposits on the level of $500-$1000. A CD can be a good baseline for growing your wealth and is an incredibly secure investment vehicle. 

2. U.S. Treasury Bonds

A bond is a loan given to an entity with the promise of paying it back over time with interest. US Treasury bonds are, therefore, like a loan to the federal government that you accrue interest on. US Treasury bonds are probably the safest investments on Earth because the only way they would fail is if the United States defaulted on its debt. 

Treasury bonds are incredibly secure but usually have a low rate of growth. Historical data pegs the average long-term growth rate for US Treasury bonds at 2%-5%. You can buy Treasury bonds fee-free at TreasuryDirect.gov

Investors can also put their money in ETFs and mutual funds composed either partially or exclusively made of US Treasury bonds, which allows you to purchase them through a secondary market. You can also realize the gains from bonds in an ETF before the maturation date. 

3. Gold

Gold is often touted as the ultimate safe investment. Although gold prices swing over time, the consensus is that gold holds its value, and it can serve as an excellent buffer during periods of inflation. Gold will fluctuate in value, but it can diversify a portfolio of currency-denominated assets since it is a monetary asset.

Lastly, gold can serve as a helpful hedge against currency devaluation. For example, during the period of 1998-2008, the US dollar value steadily declined compared to other currencies. The price of gold, however, nearly tripled during the same period. When currency devalues, investors tend to flock to gold, which in turn raises the price of gold. 

Most people are nervous about where they put their money. These tips should make the average investor feel a lot more confident.  

About Mike Eisenga

Mike Eisenga is a successful commercial real estate investor with a banking and finance background and is the former mayor of the City of Columbus. As a President of both American Lending Solutions, a mortgage lending company (he founded and operated from 2000 to 2018), and First American Properties, he has a track record of creating and operating successful businesses. Mr. Eisenga is also devoted to property development and construction, primarily serving smaller local communities.  

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