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Location: Was Midvalley Oregon; Now Eastside Seattle area
13,075 posts, read 7,515,583 times
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Quote:
Originally Posted by Basic2020
Hi all,
I would like to invest 100k savings but not sure what are the best options right now. I have no huge debts and have emergency funds. And also, I don't foresee using these funds in near future. Therefore, I am fine with moderate risk (not high risk). Please provide your suggestions.
Quote:
Originally Posted by Basic2020
I am in late 40's. 100k is approximately 10% of my total portfolio. The rest of my portfolio is in the form of IRA, 401K, company stocks, high-yield savings account etc. I am in 35% tax bracket.
Seems to me that you have the typical array of main characters. So my flippant suggestions are meant to explore the voids between your main investments. The leading edge investing are what the really wealthy explore.
YMMV
Seems to me that you have the typical array of main characters. So my flippant suggestions are meant to explore the voids between your main investments. The leading edge investing are what the really wealthy explore.
YMMV
most leading edge investments are not for those who have to come on here to find out what to even invest in
Location: Formerly Pleasanton Ca, now in Marietta Ga
10,351 posts, read 8,574,670 times
Reputation: 16698
Quote:
Originally Posted by moguldreamer
A comment on rental property: when you are a landlord, you are operating a business. Some people are cut out for it; others are not. People I know who have been landlords for long periods of time are indeed cut out for it. Others become landlords but sell after a few years because of headaches and losses; they are not cut out to operate a business.
A few things. I agree with the above. I have made more money in rentals by a long shot than had I put it in other vehicles. But you definitely need to know what you’re doing. It can be a time suck if it’s not set up well.
I live off this business that takes a few hours a month to run , but there’s a lot of people that have gotten worked over and it hasn’t ended well.
I would like to invest 100k savings but not sure what are the best options right now. I have no huge debts and have emergency funds. And also, I don't foresee using these funds in near future. Therefore, I am fine with moderate risk (not high risk). Please provide your suggestions.
Quote:
Originally Posted by Basic2020
Thank you all for your kind suggestions. I don't need the funds in the near-future. I am in my late 40s and would like to have this as my long term savings. So based on what I read, the suggestion is to have a balanced portfolio of bonds and stocks. I like Fidelity. So maybe I should consider approaching them. A part of me wants to buy a house with this money but I dont want to get stressed with tenant issues etc. But I am hoping that I will have some passive income.
Quote:
Originally Posted by Basic2020
I am in late 40's. 100k is approximately 10% of my total portfolio. The rest of my portfolio is in the form of IRA, 401K, company stocks, high-yield savings account etc. I am in 35% tax bracket.
OP - Interestingly enough I'm at similar age of 43 and recently received 100k in disposable cash after selling a 2nd home and paying off my primary residence. It's been sitting in SPAXX while I figure out what to do with it. I've decided I'll be keeping 20k in SPAXX and the rest into VTI within my Fidelity brokerage account.
As a former landlord, I'd caution getting into that investment unless you want to deal with tenants and home repairs. Even if you're not doing the actual maintenance, you'll still be dealing with coordinating contractors with tenants. It's not a passive endeavor as some would have you believe.
I am in late 40's. 100k is approximately 10% of my total portfolio. The rest of my portfolio is in the form of IRA, 401K, company stocks, high-yield savings account etc. I am in 35% tax bracket.
Can you determine how much of your total portfolio, including the $100K, is in which
The idea is to build a pie chart of percentages:
A% is equity and hence exposed to equity risk
B% is debt (bonds) and hence exposed to bond risk
C% is in cash or cash eqivalents (where you can withdraw the cash today)
D% is in Certificates of Deposit
E% is in real estate (either that you own or are in a stock of a real estate investment trust - REIT)
F% is in alternatives that could hypothetically be sold at some point - such as precious metals, fine art, rare coins, muscle cars
... or anything else that is significant.
EDIT: is 35% your combined state/federal marginal tax bracket, or just federal?
A few things. I agree with the above. I have made more money in rentals by a long shot than had I put it in other vehicles. But you definitely need to know what you’re doing. It can be a time suck if it’s not set up well.
I live off this business that takes a few hours a month to run , but there’s a lot of people that have gotten worked over and it hasn’t ended well.
What kind of rentals do you have and how did you get them?
OP - Interestingly enough I'm at similar age of 43 and recently received 100k in disposable cash after selling a 2nd home and paying off my primary residence. It's been sitting in SPAXX while I figure out what to do with it. I've decided I'll be keeping 20k in SPAXX and the rest into VTI within my Fidelity brokerage account.
As a former landlord, I'd caution getting into that investment unless you want to deal with tenants and home repairs. Even if you're not doing the actual maintenance, you'll still be dealing with coordinating contractors with tenants. It's not a passive endeavor as some would have you believe.
for those with large cash positions fidelitys highest yielding money market is FDZXX , but it has a 100k min .
it pays almost a third of a percent more .. for us it works well because we keep two years spending in cash
Agreed, but its not the same as having a tangible asset in my opinion.
True, but without tenant headaches, upkeep, etc.
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