Investment advice please, what would you do with spare $100k~$200k USD

[AG]

what would be a decent investment for someone with zero debt, and spare $100k~$200k USD.

Not looking for high risk short term investments. Just something that would do better than the current long term CD rate. Would love to put the spare fund to work.

Thanks in advance

 

[hlweyl]

Have you looked at IRA's?

 

[jorligan]

If you are looking for something pretty safe with a higher return than a CD, you should look at some mutual fund investing primarily in bonds. Depending on your tax bracket, tax-free municipal bonds could be interesting. Sounds like you need to talk with an investment councilor. Tim

 

[T Bolen]

Buy a rental house - with that kind of down payment you would have a positive cash flow right away and the tax benefits would help too.

 

[NsXMas]

what would be a decent investment for someone with zero debt, and spare $100k~$200k USD.

Not looking for high risk short term investments. Just something that would do better than the current long term CD rate. Would love to put the spare fund to work.

Thanks in advance

You definitely need to go see a financial advisor!!

Locking that much money in CDs is like taking an NSX and using it to go to Sunday church service only. So much more potential for your moola.

I laddered my money, so some funds are liquid enough to coverr 3-6 months of living expenses/emergencies, others are in diversified mutual funds, bonds, REITs, stock accounts, etc. The liquidity of those other investments range from 6 months to 3 - 5 years, to maximize return and minimze risk through diversification.

Buy or borrow some finance books to get some ideas, and interview several financial advisors (most have free initial consultations) to see if one will fit your needs.

 

[Mike O]

I'm an investment broker, and have been since 1981.

I just invested some of my assets in two collectible cars, a classic GTO Convertible and a 1965 Corvette Coupe. Pretty much nothing in the past few years has appreciated like old muscle cars have, and unlike stocks or bonds, you actually get to have fun with them.

Take some of the $$$ and buy yourself a classic car you like. What's hot now are '67-'69 Camaros, Corvettes (especially mid years from '63-'67), 'Cuda's, '69-'72 Chevelle SS's. The larger the engine, the bigger the price.

 

[steveny]

(Fred's)Steve's Bank! White suit left hand pocket . You have to remember that. :biggrin:

Anyone get it?


80 % of the money in rental property and 20-30% of the money on OTM calls 2 years out would be a good investment.

 

[Ryanmcd2]

Calls eh? So you think its going up lol. Need to sell calls

(Fred's)Steve's Bank! White suit left hand pocket . You have to remember that. :biggrin:

Anyone get it?


80 % of the money in rental property and 20-30% of the money on OTM calls 2 years out would be a good investment.

 

[Koji_NSX]

Buy a rental house - with that kind of down payment you would have a positive cash flow right away and the tax benefits would help too.

I 2nd to that...did that 2 years ago right now made double on the equity

 

[fannsx]

I 2nd to that...did that 2 years ago right now made double on the equity

Depending on location,rental homes can be a great investment.
But it comes with headaches, like who to kick out, who is not paying rent, how to get your rent money, tickets by the city for whatever the tenants do, maintenance,etc.
Blue chip stocks are usually very stable. Retrun maybe slow, but steady.
Some financial adivsors can be aggressive with you money.But no risk, no return.
I buy stocks myself.

 

[WOODY]

Use the 200 grand as the 20 % downstroke on a million dollar property that will generate revenues in excesss of the resultant $800,000 mortgage. Office, professional building or an apartment complex (which you can condo later)
you get
1. At 5% per year appreciation your asset increases in value $50,000 per year
2. for tax purposes the building is depreciated on a 27.5 year schedule so you can right off a loss of $36,000 per year.
3. If you buy right you could easily pocket 10 % of gross revenues from the rental giving you another $7-8,000 a year

sooooo a net income change of $95,000 per year

 

[Dtrigg]

There a lot of questions you need to ask yourself in terms of how liquid you need/want to be. If you want to be in a liquid position, a rental property wouldn't fit your bill. If you have had money in a CD, it would appear that your are somewhat adverse to risk.

Now would be a great time for you to meet with an investment advisor, as some have suggested. Not only in terms of your $100/$200K investment, but also in terms of your overall financial planning/future, would an investment advisior work for you. When you go looking for an advisor, make sure the person you select doesn't make their money from commissions. Also, make sure they have been doing this for a while. Anyone can call themselves an investment advisor. Look for some professional association as well, e.g. CFP (Certified Financial Planner).

Good luck.

Doug