The best investment over 25 years

[DiMarxist]

including around 430% growth. So if we invested Rs 1lakh PKR and it grew 25%, it would almost become Rs 40 millions today . Offcourse these are the past records and cannot guaranteed the same progress in future but still it was huge. it was an interesting session and made me think what is my money doing while i m not using it?

This is the big question that everyone who is really concerned about financial security and investment in general. What separates the wealthy man from the rest of the society is that, the wealthy man has come to the understanding that his money really needs to work for him even when he is sleeping and not doing anything. That is the key when it comes to wealth creation. We have to put our money into work and motion for it to continuesly grow and appreciate over time because, only money that is in motion and working that can be useful in adding value to us.

Most people do the mistake of keeping their money in the bank, or even keeping it at home without any clear cut plan for it, such money will not likely be spent in unnecessary things because money is something that we needs to be intentional about. Forming the habit of putting our money into action the the only guarantee for effective wealth creation.

Bitcoin investment is one that people can put their money to and sleep, while you leave it for some times because Bitcoin investment is also a perfect investment, type when describing leaving your allowing your money to work for you even when you are resting and sleeping.bitoin investment has always been said to be an investment for the future which perfectly fits into investment which someone can puts his money looking at the future.

[BALIK]

Your words are absolutely true. Most people think keeping money in bank is safe. But in fact inflation is gradually reducing value of our money. Problem is that we cannot realize this in short period of time. But in long term this matter is well understood.

The calculations of return on gold and mutual fund are eye-opening. Yeah past performance does not guarantee future but there is no substitute for investing in the right assets to benefit in long term.

If you had Rs 100,000 in 2001, where would you have invested in?

You have mentioned that in 2001 it would have been profitable to invest in any sector. So I don't see need to say where I would have invested descent amount in 2001. But if I had this amount of money these days, I would focus on two thing. For long term investment I would definitely focus on Bitcoin. It has high risk but also high reward. And if you think about traditional safe investment then I don't see any easy way other than savings certificate or fixed deposit.

[slapper]

Great post, but with a few points I would like to amend slightly. In 2001 the KSE-100 was around 1,500 points. Today it is near 178,000. Yes, massive gain. There are at least three to four moments that happened between then and now. The market crashed so precipitously that if anyone had seen their savings reducing 30-40% would have pulled out. Most people who "invested in the stock market since 2001" did not stay. They left. Those who received those complete returns are a very particular crowd. And they were not the typical middle class families.

That is like real estate. 13% a year appreciation is amazing. But that is Karachi DHA or Lahore DHA. They are not your average plot in Faisalabad or some housing scheme that never got developed. Many Pakistanis who made "investment in real estate" did so in schemes which had taken 15 years to develop. By the time they could do something with it half the real gain had been lost to inflation. That is a lot of context in the headline.

So why is it that we as a society have made our fiscal lives revolve around the assets we can most clearly see and touch? We utterly ignored the instruments that have historically done better. I believe that it comes down to trust. We trust what we can hold, what our family has always held, what does not require an app or a form or a filer status.

[AmaGold70]

Investment is very good, and engaging in long term investment is very important, and also choosing the best investment for yourself is also very necessary. While choosing long term investment, it is very important to choose the one that is most convenient for you because every investment does not carry equal risk, and it is very important to choose an investment that that fits your risk tolerance. As for me, I like Bitcoin for long term investment, because at first Bitcoin is one of the most profitable investment on the long run despite it's volatility. Many investors have made good profit from Bitcoin, more especially those who endure the up, and down movement of the price .

[eightdots]

Investment is very good, and engaging in long term investment is very important, and also choosing the best investment for yourself is also very necessary. While choosing long term investment, it is very important to choose the one that is most convenient for you because every investment does not carry equal risk, and it is very important to choose an investment that that fits your risk tolerance. As for me, I like Bitcoin for long term investment, because at first Bitcoin is one of the most profitable investment on the long run despite it's volatility. Many investors have made good profit from Bitcoin, more especially those who endure the up, and down movement of the price .

Making long-term investments isn't easy, and if you decide to invest, determining what to invest in is one of the hardest parts. Investments involve risks, and you need to proceed while considering these risks. Every investment carries risks, but the goal is to minimize them when making investment decisions. This requires thorough research and analysis.

Looking at long-term investments, there are many advantageous investment options. Bitcoin makes investors happy in the long term, but you need to proceed while considering the risks in the market. Bitcoin has always provided returns in the long term, and the important thing is to have the financial strength to wait for long-term investments.

[Junii]

If you had Rs 100,000 in 2001, where would you have invested in?

What you are saying actually makes sense. As investment works against inflation to maintain the purchasing power with time investment is necessary but investment takes time and it is a game of patience and strategy. Especially in crypto people think invest 100$ and you will get a filthy money in few days or over night which is gambling not investment. If i had 100k in 2001 since at that time bitcoin was not invented i will invest some portion in stocks and the remaining in gold.

[CryptopreneurBrainboss]

If you had Rs 100,000 in 2001, where would you have invested in?

Can't say Bitcoin then as it wasn't created for another 8 years so I guess Real Estate would had been my next pick but I don't want to talk much about 25 years ago instead lets talk about 25 years in the future as that's what I have control over now and not in the past. 25 years from now I want to look back at my life then nod acknowledging,, that I made the right decision to invest in Bitcoin in 2025. Going back to your question, although if someone was to wait for 2009 and bought Bitcoin with that same capital, they would had made more money than any of those other options listed above and that's the power Bitcoin holds and it can still do it again in the next 25 years.

[Ziskinberg]

I cannot chose one after the other because all I have in my mind is to diversify that amount and invest into different assets, while leaving small amount in the bank that will serve as emergency funds.

However, I will make sure that after 2009, I will allocate more for bitcoin not because it has the biggest potentials among the others, but it can be the best asset that can hedge against inflation. Where there is less or no inflation, that's where I'll be confident enough to pour my hard-earned money.

[freedomgo]

Way back 2001, I wasn't as knowledgeable as today when it comes to finances and investments. So I might only end up putting maximum amount of my cash in the bank. Not actually thinking that instead of growing my funds there, it could only depreciate its value because of inflation.

But if you ask me now, there is only one answer, diversify. Bitcoin, gold and real estate are all profitable for me. So I will make sure to diversify but maybe I will put bigger allocation on bitcoin because of its biggest potentials in the future, and leave small funds for personal expenses and allowance.

[Questat]

Seriously speaking, only gold and real estate here I am confident to say that they will stay in the market after 25 years. Bitcoin was first introduced in the market at 2009 and that time, there are more doubts and fears than seeing profitability and security after 25 years of investing in bitcoin.

Not until 2017 came and became the global mainstream explosion of bitcoin. If you'll ask me that time, no doubt I will also entrust a bigger portion of funds into bitcoin. And the rest will be allocated for real estate and gold as they are known profitable on all seasons.

I cannot really attest that these could be the best investments after 25 years from the time of investing. No one can be certain with that, but diversifying our funds into different profitable assets will save us from high inflation that will lessen the market value of our investments.

[Perfectbaby]

If you asked me now I wouldn't mind investing it in Bitcoin if Bitcoin was introduced or being birth then. But however, if taking statistics of Bitcoin you would know that is a serious growth over 1000 x and, currently it hasn't gotten up to 25 years and we are seeing this massive increase on the price of Bitcoin, let us consider if someone happens to hold it right from inception to the next 25 years from now you would see that Bitcoin will be more profitable than the other options you provided above. And yes, we knew that back then people weren't able to hold till date whereby some sold out of excitement that they have reached their maximum investment stretched holds.

[WillyAp]

Penny stocks are better than many.
Best is relative. Whats is best for you maybe worse for another.
A bitcoiner buying btc at $080 a coin selling in 63l its his best. A bitcoiner buying in $125k and selling in 77k won't agree.

[Free Market Capitalist]

If you had Rs 100,000 in 2001, where would you have invested in?

There is nothing funnier talking about investing and using thousands, millions, and lakhs, and God knows what tola is!
Like seriously, just use common percentages and numbers like the rest of the world does, probably the lack of understanding of how this all works comes from that!

Also, those numbers are meaningless unless you do an inflation adjustment or you compare this to a somewhat stable currency.

In short, the OP is asking what would have been the best investment in his local currency in 2001, which was worth about $2,100 at the time.

Gold would have been the easiest choice back in 2001. That Rs 40 million figure for mutual funds sounds like the speaker cherry-picked the absolute best-performing fund to make a point.

If I had the money back then, I'd have probably just bought real estate or gold for peace of mind.

You wouldn't have bought much real estate with that amount but yeah, gold is the winner if we exclude the other obvious choice. The one about being visionary enough to buy gold in 2001 and sell it in 2010 to buy Bitcoin.

But all of this is just pointless hindsight speculation.

[YOSHIE]

If you had Rs 1lac in 2001, where would you have invested in?

Our goal in investing is of course to have real economic profits, where the investment is truly to improve the individual's economy.

For me personally when I have Rs 1 lakh, of course I will halve my investment.
1. Bitcoin and.
3. Gold..

The two investment assets I mean can really add value to our investments in the future, Bitcoin and gold have dramatic value in the future.
As time goes by, gold and Bitcoin always change, especially the price, so I don feel like  8losing out on choosing these two assets.

[jcojci]

I will take gold as the first choice as Bitcoin are not invented in 2001. That is the make sense option for me because I believe gold will increase because of the scarcity. Bitcoin will similar as gold in the future where the supply becomes limit and many people wants to have Bitcoin.

I don't want keeping money in the bank because the interest will reduces year by year. You can look at the current situation about the interest that bank gives to their members.

Real estate could be another choice but that needs big funds to start and not many people can do. In this matter, gold will be preferable choice for me but people can choose the others.

[Berry2d]

I will take gold as the first choice as Bitcoin are not invented in 2001. That is the make sense option for me because I believe gold will increase because of the scarcity. Bitcoin will similar as gold in the future where the supply becomes limit and many people wants to have Bitcoin.

I don't want keeping money in the bank because the interest will reduces year by year. You can look at the current situation about the interest that bank gives to their members.

Real estate could be another choice but that needs big funds to start and not many people can do. In this matter, gold will be preferable choice for me but people can choose the others.

Yes gold is the most preferred option to me also, although there are other options capable of doing same as gold but the non spreading quality of gold is one major difference that distinguished it from other unpredictable assets in circulation today.
Just as mentioned above the most important reason why Bitcoin stay maintains its value is because it is extremely very difficult to acquire for the low capital investors  and this alone is one great reason its value still keeps appreciating even with the competitiveness that exists in the investment industry today. So with this specific value golds quality will still continue maybe until people lose interest in it.

[Emjay24]

If you had Rs 100,000 in 2001, where would you have invested in?

To be very honest, in 2001 I was still small, if I had this money then, I would've kept it in custody of my parents and they would've spent it back then.

Now assuming I was this big nd enlightened in 2001, I would've went straight into real estate and bought up lots of lands, then venture into agriculture. In my country the cost of lands have seen about 7000% - 10000% increase from 2001, and even up until now, lands and agriculture is still very profitable on the long-term, this is a niche I am already taking advantage of and plan to expand my position in it as time goes on.

[m2017]

If we talk about investing in Pakistan even Rs 1lakh PKR could make a big difference .

When discussing investments in the global section, it would probably be more convenient to cite figures in dollars rather than rupees.

Yesterday i attended a financial literacy session. The speaker showed us what Rs.100k PKR could have grown over the last 25 years if invested in different ways. At first he talked about keeping money in the bank. For many of us it may feel safe but inflation slowly reduces its value .He gave examples that how Rs 100k PKR from 2001 could have value (or purchasing power) of only around 9 thousand PKR today.Then we looked at national savings. Rs 100k PKR could have grown 15 lakh PKR which is around 11.5% in 25 years, if we take the average rate every year. When he calculated real estate with 13% annual growth Rs 1 lakh PKR could have grown into 21.2 lakh PKR in 25 years. The Gold was more interesting . Its one tola was around 8k in 2001 Rs 100kPKR were equal to 12.5 tolas at that time. Today tola is around 465,000.It could be 58 lakh PKR today.

At the seminar, you received useful information demonstrating the "dynamics" of the appreciation (or depreciation) of various assets.

How will you use this knowledge? You likely have some savings and are preparing to make investments. What will you invest in?

it was an interesting session and made me think what is my money doing while i m not using it?

They are losing their value. Because money is not an instrument for preserving value, but for exchanging value (participating in commodity-money relations).

If you had Rs 100,000 in 2001, where would you have invested in?

I would have exchanged it for dollars - as a last resort, since that currency is the least susceptible to inflation compared to other local currencies. Back in 2001, I didn't have enough knowledge to make rational investments, so the best strategy I could have come up with then was investing in the dollar.

You also should have included an option in your poll to "create an investment portfolio consisting of various assets to diversify risk".

Furthermore, if you were to hold such a poll on a forum dedicated to bitcoin, the results wouldn't be entirely objective, since the majority would vote for bitcoin.

By the way, your poll refers to the year 2001, but bitcoin hadn't been created yet. In other words, selecting "bitcoin" would have been impossible at that time.

[arwin100]

I will take gold as the first choice as Bitcoin are not invented in 2001. That is the make sense option for me because I believe gold will increase because of the scarcity. Bitcoin will similar as gold in the future where the supply becomes limit and many people wants to have Bitcoin.

I don't want keeping money in the bank because the interest will reduces year by year. You can look at the current situation about the interest that bank gives to their members.

Real estate could be another choice but that needs big funds to start and not many people can do. In this matter, gold will be preferable choice for me but people can choose the others.

Yes gold is the most preferred option to me also, although there are other options capable of doing same as gold but the non spreading quality of gold is one major difference that distinguished it from other unpredictable assets in circulation today.
Just as mentioned above the most important reason why Bitcoin stay maintains its value is because it is extremely very difficult to acquire for the low capital investors  and this alone is one great reason its value still keeps appreciating even with the competitiveness that exists in the investment industry today. So with this specific value golds quality will still continue maybe until people lose interest in it.

No doubt gold would be the top choice when it comes investing for long years by majority of people.

But for sure those people knows about Bitcoin and have idea on how to handle it will prefer to do diversification, then try to invest with multiple best assets that they are capable to invest.

Although we can't deny that Bitcoin really have potential, but for better protection of our future we also need to invest on multiple asset so we will not experience any long drought if there's something bad happen with the other asset we accumulated. We all know Bitcoin have bearish moments, that's why its good to diversify to have some certain protection with this situation.

[Dr.Bitcoin_Strange]

I think Poll like this should be set in such a way that one can be able to select more than one option if they want to. Personally, if I have such lump sum of money, there's no way I am going to put all that money into one asset or only one channel of investment alone, I will divide the money into three or four parts and invest on different places. Since Bitcoin was not yet in existence as at 2001, I will invest on gold, land purchase and mutual funds. Saving money in the bank is not considered an investment in my opinion, because the yield is usually so small and the fact that inflation will also affect the value. Bitcoin was created in 2009 and if I had the money then and the knowledge of what Bitcoin really is, I would have not invested all the money but just some percentage of it which would have also got me a lot of Bitcoin since the value was so low then, and I will use the rest of the money to invest in other asset.