Some of the more popular alternative investments include hedge funds, private equity, crowdfunded real estate investments, and commodities like wine, geeky collectibles, and even luxury watches.
Lending Club will enable you to loan your money out to people and groups looking for funding. Lending Club allows passive investors to diversify their assets by investing in different types of loans.
Dividends are profits paid out to owners of stocks. Some companies pay dividends regularly, which means that dividends can become a dependable source of income if you amass a significant number of shares over time.
The best high-interest banks are online-only, so you won't need to mess with going into the bank to get started. And some pay as much as 0.70% interest per year.
Over the long run, index investing has proven to be a very successful method of portfolio growth. And if your portfolio is growing, you can skim off some of the profits as passive income.