Only 10,000 baht is enough to invest! Which investments and savings are good in 2023

If we had only 10,000 baht, what would we do with it? Today we provide options for you to grow out your money from the budget of 10,000 baht. There are 2 groups of options;

The first group is “I’m not ready for a high risk”

1.Deposit money in a high-interest account

This is a perfect option for people who cannot take any risk and do not want their principal to disappear. You can get around 1.5-3.0% of interest rate if you deposit your money in a savings account or digital account. if you deposit 10,000 baht and have never withdrawn, here are the estimated return that you will get

The 1.50% interest rate of 10,000 baht per 1 year is 150 baht.
The 2.00% interest rate of 10,000 baht per 1 year is 200 baht.
The 3.00% interest rate of 10,000 baht per 1 year is 300 baht.

Even though the interest money seems to be little, it is still higher than a normal savings account which gives a 0.25-0.50% interest rate per year. Who doesn’t know which bank to open yet? We have gathered different kinds of high-interest deposit accounts for you to choose.

Pros: The principal is not lost. Deposit and withdrawal can be made anytime. Receive interest on schedule.

Cons: A small return

2.Savings lottery

This kind of saving will not cause any loss in the principal money. Even if there is a small return, there is a chance for you to win a lottery! If you are lucky, the return will be more. However, 10,000 baht does not reach the minimum amount of money to win the lottery every time which means you might not win any prize at the time. Let’s take a look at what saving lottery banks can be purchased with 10,000 baht.

Digital Special Savings Lottery 1 year, 20 baht per unit: Can purchase up to 500 units when the deposit time reaches 1 year. The return depends on winning the lottery only. The first prize money is 3 million baht.
Special Savings Lottery 2 year or Digital Special Savings Lottery 1 year, 100 baht per unit: Can purchase up to 100 units. You will get 15 baht as an interest money when the deposit time reaches 2 years. The first prize money is 10 million baht.

BAAC Digital Lottery, 50 baht per unit: Can purchase up to 200 units. You will get 14 baht as an interest money when the deposit time reaches 2 years. The first prize money is 5 million baht.

Taweesin Savings Lottery Agricultural Stable Set, 500 baht per unit: Can purchase up to 20 units. You will get 150 baht as an interest money when the deposit time reaches 3 years. The first prize money is 1 million baht.

Government Housing Bank Saving Lottery Money and Gold Set, 10,000 baht per unit: Can purchase 1 unit. You will get 150 baht as an interest money when the deposit time reaches 3 years. The first prize money is 1 million baht.
Government Housing Bank Saving Lottery Star Flake Set: Can purchase 2 units. You will get 130 baht as an interest money when the deposit time reaches 2 years. The first prize money is 1 million baht.

Pros: The principal is not lost(If you do not withdraw in the first three months) You will also be able to win prizes throughout the deposit period. The prize money is not taxed at the expense.

Cons: Less amount of return than digital saving account or fixed deposit account if you do not win any prize

3.Government bonds or savings bonds.

This bond is issued by the Ministry of Finance to borrow money from the public. The average period of bonds is 3-10 years and the interest is around 2-4% depending on the period of time. The older the bond is, the higher the interest rate.

Pros: The principal is not lost and the interest will be paid twice a year

Cons: A small return depending on the age of the bonds. Also, Interest earned is also taxed at 15%.

The second group is “Let’s me give it a try”

1.Debenture or Corporate Bond

This bond is issued by a private company to gain money for company investment. The maturity and interest rates of each debenture will be set at 3-7% per annum, depending on the company’s credit rating. If a major company has a credit rating of A or higher, the default risk is lower. However, the interest rate is lower than a company with a credit rating of B.

Can 10,000 baht buy debentures? To be honest, most of the debentures start at 100,000 baht. Debentures are rarely offered at a minimum subscription rate of 1,000 baht or more such as Digital Debenture on Pao Tang App. If anyone is interested in investing, they have to keep up with the news of the issuance of debentures to buy it in time.

Pros: Interest rates are higher than deposits and receive interest rates 2-4 times a year (depending on each issue).

Cons: There is a chance that the principal or interest will be delayed if the issuer is facing financial difficulties. Therefore, the company with a credit rating from BBB-up to AAA should be selected because the company is stable and has good performance.

Mutual Fund

A mutual fund is the mobilization of funds from investors to invest in various types of assets according to the fund’s policy. The buyer will receive an investment unit and be eligible to receive a dividend if the fund has a dividend policy. Here is the list of funds arranged from the least at risk to the most.

Money Market Fund: Focus on investing in bank deposits and short term bonds. It has a low risk rate so you can trade investment units everyday. However, you will get money 1 day after the order to sell your investment unit.

Fixed Income Fund: Focus on investing in bonds. There are various types of bond such as short-term bond, long-term bond, domestic bond, international bond, Government bond, private company bond, and to invest in a different type of credit class companies. Most of them are around 0.50-3% per annum and are at higher risk than money market funds.

Equity Fund: Main investment is investing in stocks. There is a high risk of principal loss, but there is a high chance of return as well. There are various types of investments such as mutual funds in foreign countries, funds based on index returns, including Theme Funds such as investment in health-related businesses, technology-related businesses, and clean energy businesses, etc. Each type has a different rate of risk and return.
Mixed Fund: The fund invests in a variety of assets such as deposits, bond, equity fund or other bond, in proportion to the ratio specified by the mutual fund.

Alternative Asset Fund: focus on other assets with high risk such as real estate, gold, oil, which are more volatile than stocks. There’s a very high chance of loss however if you keep pace with the timing, you will be able to make a big profit.

Now, it’s easier to invest in mutual funds because they can be bought through almost any bank, as well as through applications. In addition, there are many funds that have set a minimum purchase limit of only Baht 1 or Baht 100. However, before investing, it is necessary to study the details of investment and risk well before investing.

Pros: A chance to get a large amount of return.

Cons: There’s a high probability of loss and a loss of principal.

Invest in stocks

For those who have 10,000 baht can invest in stocks as well but only a few stocks will be available and they can buy in small amounts. In addition, the purchase and sale will be deducted from fees and taxes. Therefore, this amount of cost is not suitable for buying and selling daily because the fee will cost all of the principal. You can buy and hold for several years to wait for profit from the spread of prices or to receive dividends.

Always remember, Stock investment is very risky. The probability of a 10-20% profit within a few months is as high as the possibility of a 10-20% loss. If you want to play stocks, you need to have a lot of understanding of the company you’re buying stocks from. keep the timing right otherwise the savings will disappear in a flash.

Pro: A chance to get a large amount of return and dividend

Cons: There’s a high probability of loss and a loss of principal

4.Gold Saving

It doesn’t take much money to invest in gold, as there is a gold savings program that allows us to gradually accumulate gold. You can start at hundreds or thousands baht depending on the conditions of the gold shop. The good thing is that you don’t have to spend a lot of money to buy gold, so you can either withdraw to keep them with yourself or deposit it in a gold shop which reduces the risk of theft and missing.

Pros: It is possible to make profits in the short term if the gold price rises, and can be stored as valuable assets in the future.

Cons: There is a possibility of a loss if gold prices are in a downward trend, and there will be no dividend or interest on the way like other types of investments.

5.Invest in sales or start a business.

10,000 baht can open a small business such as

Diet sale: such as lunchbox, rice and curry, snack, dessert, coffee and beverages

Second-handed Sale: You can start by searching for household items and posting them on Facebook or Instagram.

Franchise: You can buy the franchises you are interested in, which many stores only use for initial investments of thousands.

- Dealer (Dropship): It is suitable for those who want to sell online but do not want to stock or send packages themselves. You can apply as a sales representative and post photos and product information on social media and add more profit. When customers order from you, you can order from the store again.