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Old 01-22-2017, 10:45 AM
 
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inflation is the silent risk . it eats your money from right under your eyes
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Old 01-22-2017, 10:45 AM
 
Location: Paranoid State
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Quote:
Originally Posted by Luvvarkansas View Post
Also, I would want it in a place where we could draw out part of it in a lump sum all at once, say, if we wanted to pay cash for a car. Maybe just a money-market account? But would that make us lose money because of inflation?
Money market funds are much less safe than most people believe. They are NOT like bank accounts. They are not insured.

See Money Market Mayhem: The Reserve Fund Meltdown | Investopedia
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Old 01-22-2017, 10:48 AM
 
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ha ha ha , i lost money in that money market . they were loaded with Lehman paper .

the worst part was not the 1 or 2% we lost . it was the money got doled out over months as access was cut off to your money .

i am one of the few who can actually say yep , i took a hit in a money market . luckily it was attached to a small account i had so i didn't lose much . but others were really hit hard because of the time it took to get your money totally out .
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Old 01-22-2017, 10:52 AM
 
Location: Paranoid State
13,047 posts, read 10,431,986 times
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Originally Posted by mathjak107 View Post
ha ha ha , i lost money in that money market . they were loaded with Lehman paper .

the worst part was not the 1 or 2% we lost . it was the money got doled out over months as access was cut off to your money .

i am one of the few who can actually say yep , i took a hit in a money market . luckily it was attached to a small account i had so i didn't lose much . but others were really hit hard because of the time it took to get your money totally out .
You and me both. Except I lost a big chunk of money in The Reserve.
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Old 01-22-2017, 10:56 AM
 
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i remember they initially released a chunk but i seem to remember it taking months to get it all .

mine was attached to an old david lerner account we had .
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Old 01-22-2017, 10:57 AM
 
Location: The sleepy part of New York City
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Originally Posted by mathjak107 View Post
the reason folks get burned in stocks is not markets . it is trying to use volatile investments as a bank account which really need many many yearsto do their thing . .
I'm not clear on what you're trying to say. What are you suggesting? In my case the money that would be put into the Wellesley acct is over a hundred grand in back pay that's owed to my husband. Some of it will be withdrawn occasionally as needed. Are you suggesting we stick to a savings acct?

The bulk of our money is in other NYC investments that we can't touch for a while.
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Old 01-22-2017, 01:32 PM
 
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the cleanest way to invest if you think you will need the moneyin the shorter term then matching the money to the time frames is a good idea . cash instruments for up to 5 or 6 years out , bonds for 7-10 years out and equity's for the long haul .

pulling money out of wellesly when it is down 10 or 15% would not be a good thing to do . i would classify wellesly as an equity not a bond or income fund . so wellesly should not be the only investment .

Last edited by mathjak107; 01-22-2017 at 01:46 PM..
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Old 01-22-2017, 03:20 PM
gg
 
Location: Pittsburgh
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Originally Posted by Luvvarkansas View Post
Where would you guys recommend putting a fairly large sum of money where it will draw interest and still be fairly safe? Someone I know said they put theirs into a Horace Mann fund of some type and it draws....oh, I think they said 3 or 4%.
Shell Oil is paying around 6.7% and is a pretty good value right now. Huge company and pretty darn safe. I have made millions in the market, so I might not be everyone's cup of tea with advice.
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Old 01-22-2017, 03:20 PM
 
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you don't buy any stocks if you think you will need the money in the short term . . someone with this complete lack of investing knowledge should not be buying individual stocks either .

that is about as horrible advice as they can get .
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Old 01-22-2017, 04:19 PM
 
997 posts, read 578,082 times
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At the casino.
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