I just inherited a significant amount of money. How can I double it in 10 years or less?

Answer 1

Buddy...lets get one thing straight if you want to double your money you aren't going to do it via CD's or T-bils. However, if you are scared (and i do mean scared) of losing your inheirtance money than maybe equity investments aren't for you..Two strategies I would suggest you employ are using the "Dogs of the Dow Theory" www.dogsofthedow.com or index investing. Both of these should garner returns of AT LEAST 9% annually which means you should double (according to the rule of 72) in 8 years...Best of luck and happy returns :)

Answer 2

CDs and T-Bills won't make you double your money. Investing in a combination of junk (high-yield) bonds and growth funds (both foreign and domestic) will have a much higher probability of doubling over the next 10 years. At the current T-bill rates you'd be lucky to earn a 50% return over the next ten years. You assume more risk by investing in stocks (growth funds) and high-yield bonds , but by assuming that risk you will also have a higher rate of return in the long run. Timing is also important when it comes to investing. The stock markets have been beaten down recently because of inflation fears. This is a good thing for value investors because it means stocks with the same earning potential are selling for less (meaning a bargain purchase for long-term value investors). Depending on the amount of money inherited you may want to seek the advice of a financial advisor. Just be sure to take the time and "interview" a few advisors before you trust them with your inheritance. If you're inheritance isn't large enough to warrant having an advisor, then a few books on investing for beginners and value investing from Amazon may be a good start.

Answer 3

First thing first. Don't brag or talk openly to everybody you know about the money you have. Your money won't last long otherwise.

Next, you should spend some time to understand about investment yourself. You can begin by reading books/articles say from www.richdad.com, www.investopedia.com. Don't invest the money right away other than parking them into CD's. Invest in building up your personal financial intelligence for 6 mths up to a year will help give you better ideas of what you could do with the money than what others tell you to.

If you really really have no interest to learn about investing yourself. Hire a professional money manager to invest for you. But if you have no financial knowledge, it's likely that you can't tell if money manager is a good/bad one. So, I still suggest that you spend at least some time to learn about the basic of investing before you hire any professional to do the job for you.

Answer 4

I have a trading strategy which can double it in 2 yrs or less. Although my trading system (fully automated) doubles in less than a year but since your target is 10 years, It can safely do it in 2 years.

It is a proven system based on sound logic and does all trading by itself. You don't need to invest all of your inheritance money in this but definitely can consider a % of it..

Answer 5

probably the best way is to invest in the stock market, however this requires longer that 10 years sometimes, but a good strong company that pays dividends, together with dollar cost averaging, where you buy shares monthly for a particular stock, is the best way, a good strong company that has a healthy balance sheet and coupled with dividends and DCA could easily return 15% a year....if you want safe returns try I-Bonds provided by the US Treasury...they are safe and currently could double the investment principle in under 20 years, as they are linked to the inflationary index which is currently rising

Answer 6

Ok, a simple double your money is buy thld stock. It just dropped due to fda halt of tests when liver enzimes were shown as too high. Kinda like some people get when they take cholesterhol medication. Test are resuming and the stock will double in about a year. There is my opinion and it is correct....

Answer 7

invest your money in real estate buy some houses or an apartment building let section 8 people stay in them, or use them just as rental's you will double your income in a year and see where the money you put into is going. the best suggestion for anyone getting a large sum of money.

Answer 8

The rule of 72 tells us the interest rate you need to get in order to double your investment by dividing the # of years into 72. That means you need to get a 7.2% return on your investment in order to double it in 10 years.

I would suggest you seek an investment adviser to help you. Certain mutual funds historically can perform much better but it depends on your risk tolerance.

Answer 9

Invest it definitely! Mutual funds. Stocks are too risky, I have a step grandfather who lost a million dollars in stocks. See a financial advisor, they only need 6-7 years to double. Worked for me!

Answer 10

Look at a new media outlet and invest in it. Check on SIRI on the stock ticker it is a good time to buy as they estimate up to 40 million sat rad subs within a decade.

People laughed at my grandpa when he invested in cable TV and he retired a fairly wealthy man.