The 7 Types of Investments Every Serious Investor Should Know

If you’ve built a strong financial foundation, whether through business, career success, or inheritance, investing wisely is the next step in preserving and growing your wealth. But the world of investing can, at times, be overwhelming without the right framework.

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With this in mind, we’ve broken down the seven core types of investments that every affluent individual should understand. Whether you’re looking to secure long-term returns, protect against inflation, or explore new opportunities, this guide will help you make sense of the landscape.

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We’ve also invited insights from Martin Robinson, Director at Amzonite. With over a decade in markets and fintech, Martin brings practical, seasoned views on how the wealthy approach investing today.

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1. Stocks: Growth Through Ownership

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At its core, investing in stocks means buying a piece of a company. You benefit as that business grows, with returns coming from price increases or dividends.

For many high earners, stocks form the backbone of long-term investing. But the key is not picking individual winners. Diversifying across sectors and regions, either through direct holdings or funds is what helps smooth out the ride.

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“Stocks are still where most of the long-term growth comes from,” says Martin. “But smart investors today are thinking more in terms of themes and risk-adjusted exposure rather than chasing hot tips.”

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2. Bonds: The Reliable Income Stream

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Bonds are essentially loans you give to companies or governments, and in return, you receive steady interest payments. They’re typically lower risk than stocks, which makes them attractive during economic uncertainty.

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In higher-rate environments like today’s, bond yields have become more appealing, especially for those looking to balance risk with predictable income.

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“Bonds aren’t boring anymore,” Martin adds. “We’ve seen a shift back toward fixed income as a stabiliser, especially with interest rates where they are.”

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3. Property: Tangible Wealth and Steady Cash Flow

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Real estate has long been a favorite of the affluent. Whether it’s a rental portfolio, a commercial building, or a holiday let, property offers income, tax advantages, and potential long-term appreciation.

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But the game has changed. It’s no longer just about owning bricks and mortar, it’s about being strategic with locations, yield, and leverage.

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“We still view property as a core part of private wealth,” says Martin. “But access is evolving. Fractional ownership, REITs, and digital assets tied to property are making it more dynamic than ever.”

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4. Commodities: A Hedge Against the Unknown

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Gold, oil, and other physical goods tend to move differently from stocks and bonds. That makes them particularly useful for balancing a portfolio especially during inflation or political instability.

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While commodities can be volatile, a small allocation can provide a buffer when traditional markets are under pressure.

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Martin notes, “Commodities often get overlooked by private investors, but they’re a critical hedge. It’s about timing, positioning, and understanding macro cycles.”

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5. Funds: Diversification Without the Complexity

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Mutual funds and ETFs (exchange-traded funds) pool your money with other investors to buy a broad range of assets. They’re efficient and ideal for investors who don’t want to manage every little detail themselves.

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ETFs in particular have become popular for their flexibility and transparency. You can now access everything from global tech to inflation-linked bonds with a single click.

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“ETFs have made investing more accessible and more precise,” says Martin. “Plenty of investors use them in institutional strategies as well, they’re that effective.”

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6. Managed Funds: Professional Trading for Private Investors

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This is where Amzonite’s work comes in.

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Managed funds pool capital from investors and put it to work using active trading strategies, most notably in high-liquidity markets like foreign exchange (forex). Instead of buying and holding, these funds seek returns by analyzing short and medium-term price movements.

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“Forex trading isn’t something most people can do effectively on their own,” says Martin. “But managed properly, it offers daily liquidity, global diversification, and the ability to perform regardless of whether traditional markets are up or down.”

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Amzonite’s approach uses institutional tools and data to manage risk and pursue consistent performance, making this style of investing increasingly popular among private investors seeking hands-off access to sophisticated strategies.

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If you’re interested in performance beyond the usual index returns, managed funds may offer the edge you’re looking for, without requiring your daily attention.

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7. Cash and Cash-Like Assets: Optionality in Your Back Pocket

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Cash doesn’t earn much, but it gives you freedom. Whether it’s parked in a high-interest savings account or a short-term government bond, having cash on hand allows you to act when opportunity strikes, or stay calm during turbulence.

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“We don’t treat cash as dead weight,” Martin says. “It’s strategic. In volatile markets, it lets you be the buyer not the panicked seller.”

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Wrapping It Up: Balance, Strategy, and Access

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No single investment type is right or wrong, it’s how they work together in your portfolio that matters. The wealthy don’t just invest in one direction; they allocate thoughtfully across asset classes, planning for both growth and protection.

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And they’re increasingly using tools and expertise once reserved for institutions.

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“What we’re seeing now,” Martin concludes, “is that private investors are demanding the same sophistication as large funds. And rightly so. With the right mix of strategy and execution, they can achieve it.”

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At Amzonite, we specialize in helping private investors navigate this complexity, bringing institutional-grade insights to those ready to take a more intentional approach to wealth, via our managed investment funds.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, or legal advice. Past performance is not indicative of future results, and all investments carry risk. You should always conduct your own due diligence or consult with a qualified financial advisor before making any investment decisions. Amzonite does not provide personalised financial advice and any strategies mentioned are illustrative and general in nature.

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Curious what your portfolio might be missing? Contact us to discover how we build tailored strategies for investors like you.