Julia Z. inherited 500,000 euros. Her goal: She wants to build a passive income of 1000 euros per month. The digital asset manager Growney has calculated for you what is best: buying a property, taking out a mortgage or investing in ETFs.
“Real estate is often a very exciting topic: a house or an apartment is synonymous with security. But it’s definitely worth taking a closer look and calculating it specifically,” Growney management’s Thimm Blickensdorf tells Business Insider.
If Julia put all her money into a global ETF, she could have close to a million euros after 26 years. If you bought a property, your assets would be less.
Suddenly you have inherited some money and you wonder: what should I do with it? So did Julia Z. (Name changed at the request of the protagonist). The mother of a son inherited 500,000 euros. By then, she had already paid for her house, so she didn’t have to count on the half-million. But to guarantee her future and that of her son, she wants to be able to disburse 1000 euros a month with the inheritance, that is, to build a passive income.
Wealth Manager Growney, whose client she is, shows her three options: Buy a small property for €250,000 without taking out a loan. The rest must be invested in ETFs around the world. Or: buy a property for €500,000, half of which is financed, then pay only €250,000 and finance the rest with a loan. Here, too, the remainder of the inheritance, i.e. the remaining 250,000 euros, is invested in ETFs worldwide. Or: The entire 500,000 euro inheritance is invested in global equity ETFs.
