Potential Funds for Investment and Comparative Fund Evaluation

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Section 5
Long short equity strategy
A long-short equity strategy is an investment management policy that minimizes market risk by taking long and short positions. Investors' ideology is that if the market shares decline, the short position will still be able to minimize losses and keep the investment profitable. In a long position, investors buy undervalued stocks, which increase over time, earning more profits. A short position is about capital preservation, while a long position offers a platform for wealth creation (Barth et al., 20). There are vital fundings that can be invested through the lengthy short equity strategy to realize profits in the future. Real estates, stocks, and mutual funds are a significant potential for fund investments and arguably the best to bring huge earnings as the market shares skyrocket.
Stocks
Stocks represent ownership in profit-generating companies, which represents investing in an economy. It is the nature of stocks to rise in value over the long term. Hence, in return, paying high profits to investors resulting in a stable income (Barth et al. 20). Stock markets run actively and are liquid investments whereby an investor can buy and sell their shares at any given time. Further, an investor can spread their fortunes across different companies to increase the diversity of their stocks across international borders to realize profits. Stocks involve both capital gains as well as dividend incomes. Growth stocks bring about capital gains in a company's market shares. The companies with growing stocks primarily invest back the profits in the growing market value rather than paying investors their dividends. Companies offer high dividends stocks that will return vast profits to investors in dividends. Moreover, high dividend companies offer an advantage since the capital value appreciates, thus producing the best long-term investments.
Real estate
Real estate investment trusts are a type of investment channeling funding into real estate homes. The return on investment comes through either mortgage or equity ownership, where properties are always in commercial value (Barth et al. 20). Further, real estate crowdfunding is a peer-to-peer lending type of investment where the investor is not entirely involved in the process. Crowdfunding allows the investor to choose any method for investing in a property by selecting specific real estate investments they desire and the amount to be inves...