Investing for financial freedom: strategies for digital nomads

Mar 11

"Investing for financial freedom" is the buzz phrase of the moment. But what does it mean, exactly? It is a goal that many people are working toward, but one that few achieve. In this article I'll explore some strategies to help you reach your own version of financial freedom as a digital nomad.

What is financial freedom?

Financial freedom is the ability to live life on your own terms. It's not just about money, it's about how you use your time.

It's not about how much you earn, it's about how much you save.

Five strategies for investing for financial freedom

Investment accounts:

Investment accounts are the most basic way to invest for financial freedom and should be the first step in any investment strategy. They're also one of the simplest ways to start earning passive income, which means more time spent doing what you love!

Investment accounts can be opened through traditional banks or online brokerage firms such as Vanguard and Fidelity, who offer mutual funds and ETFs (exchange-traded funds). While some people prefer investing directly in individual stocks and bonds, these options are best left up to professionals because they're riskier than index funds. If you're new to investing and want something simple with lower fees than mutual funds or ETFs, robo-advisors can help automate your portfolio management so all you have to do is set it up once then sit back while they manage everything else!

How to invest in stocks

Learn more about:

How to invest in stocks
How to buy stocks
How to sell stocks
How to choose stocks, and how not to choose them (like we did)
Tracking your investments, so that you know how much money is coming in and going out of your account. This is important because it lets you know whether or not the investment is working for you!

There are lots of different ways that people track their investments--some use spreadsheets, others use apps. We use an app called Robinhood which is free for the first $500 invested each month; after that it charges .05% per trade on top of whatever fees are charged by stock exchanges like Nasdaq or NYSE Euronext where most companies list their shares so check those out before deciding which platform works best for tracking purposes!

How to invest in real estate

Investing in real estate is a great way to build wealth, but it's not for everyone. If you have the time, knowledge and experience needed to invest wisely in this asset class, then real estate can be an excellent long-term investment.

But before we get into how to invest in real estate as a digital nomad (or even if), let's take a look at what makes this asset class so attractive:

It provides passive income from rents on properties you own or manage. You don't need to work on the property every day or even at all! You just collect checks from tenants who pay rent each month until they move out or die (I'm joking).
The value of your property will appreciate over time as demand increases and/or supply decreases relative to other comparable properties located nearby--this means that each year there will likely be more buyers willing than sellers willing so prices increase steadily over decades without much effort required by owners themselves beyond basic maintenance tasks like fixing broken windows or replacing old appliances with new ones when necessary etcetera ad infinitum ad nauseam...

How to invest in mutual funds, ETFs and robo-advisors

Mutual funds, ETFs and robo-advisors are all ways you can invest in stocks.

Mutual funds are managed by a professional who invests your money in different types of stocks. They're great if you want to invest in the whole stock market and don't have much money to start with (like $1 or less). You can also buy them through an app like Robinhood that doesn't require a lot of paperwork or fees!

ETFs (exchange traded funds) are similar to mutual funds except they're more flexible because they allow you to trade them just like stocks on an exchange--which means there's no minimum investment requirement! Because of this flexibility it's best suited for people who already know what they're doing with investments but still want some hands-on control over their portfolio's direction without having any experience managing their own holdings manually through individual purchases/sales etcetera...

Maximizing tax advantages of investment accounts, or not

The tax advantages of investment accounts are well documented and widely known, but there are also some disadvantages to consider.

The biggest advantage of investing in an IRA or 401(k) is that your investments grow tax-free until you withdraw them, which means you don't pay any income taxes on your gains until then (you still have to pay capital gains taxes).
However, there's one downside: if you're withdrawing from the account before retirement age (or age 59 1/2), then those withdrawals will be subject to ordinary income tax rates--and if they're taken from Roth accounts, there won't even be any opportunity for future investment growth!

There are many ways to invest for financial freedom as a digital nomad.

You'll want to consider your goals and risk tolerance before deciding which type of investment is best suited for you. You can invest in stocks, real estate, mutual funds, ETFs (exchange traded funds) or robo-advisors such as Betterment or Wealthfront if you prefer an automated approach.

Investing for financial freedom is a great way to become more independent and secure in your life as a digital nomad. You can invest in stocks, real estate or mutual funds and earn returns that will allow you to spend time doing what matters most--living the life you want!

ACID SNOW