5 Long-Term Investments and the Market in 2024

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Long-term investments are meant to be long-term wins. They are the kinds of assets that don’t need a lot of attention and that you can include in your portfolio with relative confidence that they will grow over time.

All investments see ups and downs with the market. Long-term investments are usually the type that you can expect to rebound with time and patience, rather than equity in companies that can vanish overnight or assets that don’t have a proven track record.

Let’s take a look at five typical long-term investments and what it looks like adding them to your portfolio in 2024.

#1 Dividend Stocks

When you’re buying stocks, your two most common options are dividend stocks and growth stocks. Growth stocks are typically in companies that have growth potential, like tech companies or the next big idea. Growth companies invest their earning in themselves, and investors bank on their stocks appreciating in value, though they can be volatile.

Dividend stocks tend to be more mature companies that have more or less grown into their market position. These are companies like Coca-Cola, General Electric, Visa, Walmart, and Apple. They give investors annual returns and can be an important source of investment income, especially for investors approaching retirement.

#2 Bullion

Bullion, which includes physical forms of precious metals like gold and silver, is a favourite among investors looking for an inflation hedge. Bullion is an alternative asset that helps investors go beyond the typical 60/40 investment portfolio, which has increasingly become an outdated strategy. With bullion, you add long-term wealth preservation to your portfolio.

The most secure way to add bullion to your portfolio is to work with a bullion dealer. Dealers like Global Bullion Suppliers will walk first-time bullion investors through the process, including how to understand premiums, how to get the best prices, and what security measures you need to take. 

#3 Bonds

The bond market is somewhat unusual in 2024. At the moment, short-term bonds offer better interest rates than long-term bonds, signalling an expectation among investors that interest rates are on their way down.

However, there are still solid returns to be made from bonds until that happens. Short-term bonds may require you to update your finances when interest rates begin to shift, but they offer a profitable, low-risk investment.

#4 Exchange-Traded Funds

Exchange-Traded Funds, or ETFs, are a low-cost, low-maintenance way of gaining exposure to the stock market. Instead of trying to pick your own stocks, a fund manager handles a larger fund that invests in a diversified portfolio. Most ETFs are designed to track the performance of a particular index or market sector.

Despite recession concerns in 2024, an ETF remains a good investment. It’s a long-term growth strategy and one that provides a lot of diversification.

#5 Real Estate

Investing in real estate can be a tough sell in a high-interest rate environment. Elevated lending rates change the math substantially on carrying a mortgage. When you’re looking at an investment property, your hands are tied by the rents that the market can bear without regard for your costs.

However, higher interest rates are likely the only thing keeping the real estate market in check right now. A future drop in interest rates could send prices skyrocketing.

If you can make the numbers work on a rental property now, consider options such as refinancing five years from now when interest rates may be lower and take advantage of a cooler real estate market.

These long-term assets can help you invest without having to stay on top of stock prices every day.