Real estate. Buy a cheap house with leverage, fix it and either rent it out, or sell it. If you rent, cash out refi, rinse and repeat. Many fortunes built this way. High use of leverage means many shirts lost as well, however many of our laws (assuming US) are skewed to benefit real estate investment and speculation... with the current admin, I don't see that changing anytime soon. I don't think you can find better odds.
Like gjmarsh said, this might only apply to the US. I would probably be skeptical of doing this in (say) Australia at the moment. OP didn't mention what country he's in...
Sure. You buy a distressed house with leverage. Improve it, which if done in a smart way should raise the value more than what you spend on renovations. You can then go and refinance at the new appraised value, taking cash out. You take that cash and buy another property. Do this over and over and eventually you have a portfolio of properties and consistent cashflow from your rent roll. Granted this will likely take longer than a few months. You could probably do one flip in that timeframe, however.
Roulette odds are 47,37% for doubling. So if you are not confident that your investment can beat that dont bother.
Otherwise use high leverage products in the stock market which will amplify your wins/losses.
Best case would be to make a strategy write it down and stick to it.
Your biggest Problem there is psychological strain if the 100K means a lot to you. You will at best have a miserable time and at worst panic sell in the wrong moment.
So if you cant afford to lose most or all of the 100K dont invest it especially not in high risk products.
Stock Market and Casino both have Fees/House Advantage.
The difference is that Casino is more or totally based on luck while there is a skill factor involved in the stock market.
Also the stock market isnt a zero sun game because of economic growth
In the end Casino has nearly the same odds for everyone while in the stock market there is much more variance.
But i would inclined to say that for most casino is the better option
If we had a valid answer to your question we would already be rich. There is no answer. Though, I'd look into bitcoin as a very risky investment today. Who knows? A bitcoin could be worth $20000 in 6 month. That's the only doable/crazy thing right now I could think of. 3-6 month is too short unless you go hard on day-trading and get super lucky trading futures, options, etc.
I think the error here is in thinking, well, inside the proverbial box. My question is serious an does have lots of valid answers.
For example, I did not say the answer had to be a passive investment. Flipping homes could do very well given one is willing to put in the effort.
I have a friend who decided to sell a product found in most homes in the US. He didn't even make it. Armed with a phone and a laptop he turned an initial investment of $50K into about three million dollars in approximately two years. He probably worked 16 hours a day, seven days a week. He is now in the process of selling the business for many millions.
It's interesting to see how many people are suggesting bitcoin.
I meant there’s no recipe for success, which doesn’t mean it’s not impossible. There’s nothing you can simply copy/paste. Though I agree, a lot of people do make millions daily/monthly/yearly, but you have to create your own path for that. Otherwise A LOT of people would be richer today.
No it doesn't; that is just a broad principle that is inapplicable in many specific situations. For example, any of us here could offer an opportunity for very low returns at very high risk, it just wouldn't amount to an attractive proposition to a thoughtful prospective investor who understood the offer.
Given the criteria to double the capital in 3-6 months, you will need to do something very speculative, which at this point in time looks like crypto currencies.
Another aspect of this question that hasn't been explored is that of scale. What I mean by this is that one can do things with $100K or more that are impossible to do with less capital. For example, buy four container loads of e-Bikes, solar panels, screwdrivers, socks or whatever and go sell them.
I think the error in some of the comments is in thinking conventionally and equating being aggressive with gambling.
Disagree. The documentation on every 3x includes loads of warnings to make sure investors (traders) understand that these are daily adjusted securities.
Here's how you might be able to double your cash flow, but not necessarily your money. Use it in a down payment for a multifamily unit, preferably triplex or quadplex. Live in one and rent the other. in 6 months use a cash-out refi to buy another quad-plex. Brace yourself for the terrible aspects of landlordship.
Aggressive means ready to lose all, same as gambling. Be smart, read and learn about investing while you find the right one for you. In the meantime keep it in the bank. There's no easy money to be made. Good luck.
To me aggressive means lots of things, one of them being working your ass off in order to make it happen.
For example, I'd love to have a good SaaS product...I just can't seem to come up with ideas. OK, this would likely not double the investment in six months but maybe achieving that run rate in six months is possible with the right product?
If you had all the time in the world, I'd watch the VIX. When it spikes, buy the XIV (inverse). It's practically guaranteed to increase in value throughout the day, volatility can't stay in a spiked state.
Are you talking paper gains or actual cashed out real money gains?
Bitcoin is virtual currency based on massive electricity consumption. Due to the ever increasing difficulty of mining, it is effectively a Ponzi Scheme.
Difficulty is not in any way ever increasing. Difficulty is set based upon the overall hashing power of the network. If it becomes more expensive to mine, miners drop out and difficulty decreases.
The worry is that when the crash comes, no one will be willing to buy. Or even if you find buyers, what if everyone starts withdrawing their money from the exchange, and the exchange doesn't actually have that liquidity...
Well it's not fully liquid. Looking at the question more strictly, it could be put in $100k, get out $200k cash.
The volume is not great. You'll lose quite a bit on exchanges. It's probably the same for stocks or real estate, but something like gold is much more liquid for a million dollars. Or gambling.
Dumb question: since leverage allows you to lose more than you have, what are the repayment terms like when you get yourself into debt? Are the interest rates, repayment term, monthly payments, etc. clearly disclosed like they are for a mortgage or car? How many amateur forex traders had it end in wage garnishment?
That's not quite how it works (at least, with most of the online forex trading houses like FXCM). At any given time, they know exactly how much you are up or down in total (ie, including your leverage). If you hit the point where you're going to lose more than what you have in your account, they will perform a margin call and close out all your positions.
The really sucky bit here is (I've had that happen) when the market then immediately turns - you simply couldn't buffer the immediate losses ;-)
Lots of shady stuff about and what many people don't realize in many (most?) cases of consumer internet platforms (like FXCM), one is actually trading against the company (they are the market maker) not against other participants. Not saying what does or doesn't happen, but the situation is such that there is incentive to do things like widen spreads and hit stop losses.
What this guy said. I've known a handful of people who have made some money on forex, by being extremely diligent and patient. I know many, many more people (including myself) who have lost unhealthy amounts of money while trading forex.
Buy an ETF called Robo which invests in robotics and AI companies and the ones building components. It has had 42% YTD returns. I have been invested in it for a while on the idea that robots are at a precipice of taking off and most people don’t seem to see it. See Bonston Dynamics work and getting acquired by SoftBank which makes Pepper. See OpenAI and the other AI progress being made. See self driving cars and Nvidia which makes a lot of the processing chips for the SDCs.
Give it to a winning cash poker grinder with good table selection skills. Hire an auditor to rail all his sessions and be his banker.
There is an abundance of talent to pick through if you are on the buy side of this type of transaction.
The skill in this type of investing is in deal negotiation and crafting terms to deal with where your players are weak. They all are somehow, but in different ways.