2006-06-19 07:57:44 · 11 answers · asked by saul_herandez 3 in Business & Finance ➔ Investing
First, I would make sure you have at least 3 months salary saved up in the bank or in a money market fund for an emergency fund. (Some people say 6 months.) Financial disasters like getting layed off or sick happen to all of us.
Second, I would pay off all high interest debt. Pay off everything you can except the house mortgage and student loans. Paying off debt is one of the best investments you can make. You will have more money in the future because you won't have credit card bills to pay.
Third, if you have money left, start investing in stocks, bonds, and money market funds. You want to buy a diversified portfolio of stocks, as individual stocks are too risky. For most folks this means buying mutual funds. I like Vanguard.com, other people like Fidelity, TIAA-CREF, and DFA. Buy no-load, low cost funds. If you are like most people you will invest part of your money conservatively, in money market funds and bond funds, and part aggressively in stock funds. Vanguard.com has an on-line questionnaire which will give you an idea how aggressive you want to be.
Investing in a mutual fund IRA for retirement may give you an income tax break. Talk to your tax adviser. You may also be able to invest in a stock mutual fund via a 401K plan at work. Buying a house instead of renting will make you a lot of money in the long run.
Believing advice you get on Yahoo answers can be risky, so read these websites for further information. If you find it too confusing, contact a professional financial advisor. They will charge you significant commissions, however.
2006-06-19 08:39:38 · answer #1 · answered by Anonymous · 1⤊ 0⤋
Invest it in your financial education. Learn ways to make money from the experts. Read their books, listen to their audio tapes. Maybe $150 on your education sounds like a lot, but if it makes you more money, let's say $2 million, I would say it's well worth it. For starters, I would read "Rich Dad, Poor Dad" (>$20).
Do what you like. For example, if you like real estate and the market goes way down, I would suggest putting $5,000 in 3 different rental properties, taking out a loan on each, and having each property pay for the rent by itself.
I wouldn't recommend mutual funds b/c you're giving your money to people and you don't really know what's going on with your money. I don't know about you, but I'd rather know where my money is. Besides, most people who work in mutual fund companies don't even have a good retirement. I'm pretty sure most of them don't know what they're doing, anyway.
Most people think investing in individual stocks is risky, which it is, but it's not as risky if you know what you're doing. Diversifying is not a good idea. "The poor/middle class put their eggs in many baskets, whereas the rich put their eggs in a few baskets."
Keep in mind that nobody cares more about your money than you do. If you ask a mutual fund company "Will you take my money?" , they'll tell you, "Sure!"
2006-06-19 09:34:43 · answer #2 · answered by Josefina R 2 · 0⤊ 0⤋
If you want to be conservative with your money, you could try a mutual fund account that is managed for you. If you like more risk, you can open your own trading account online and pick your own stocks. Either way, there is risk and you could lose money. If you have no tolerance for risk, put it into a cash deposit in a bank or a high yield account. The interest rates will at least keep you ahead of inflation.
2006-06-19 08:04:37 · answer #3 · answered by ebk1974 3 · 0⤊ 0⤋
Invest in a low cost / budget mobile telecom company, like "EasyJet" (Europe) dit it with the airline company.
2006-06-21 21:43:44 · answer #4 · answered by f m 1 · 0⤊ 0⤋
how much do you wish to make with your investment? drop me a line and tell me, i'm sure i can double the amount you want for less then 15000
2006-06-19 08:04:16 · answer #5 · answered by NTH IQ 6 · 0⤊ 0⤋
put it in a certificate of deposit at an insured financial intuition
too many crooks in the stock market
2006-06-19 08:01:39 · answer #6 · answered by Anonymous · 0⤊ 0⤋
put $5000 in a cd of your bank! (savings for bad times)
and put the rest in an IRA!
2006-06-20 02:12:30 · answer #7 · answered by Stefan D K 3 · 0⤊ 0⤋
your best investment is in....yourself.no one will work harder for you then you ...so take good care of yourself.2ND household appliances are hedge against inflation stable but low profit.
2006-06-19 08:08:12 · answer #8 · answered by Anonymous · 0⤊ 0⤋
if u r intrested in making 10%monthly..then txt me to duchess_jewellery@hotmail.com
2006-06-19 12:01:22 · answer #9 · answered by Anonymous · 0⤊ 0⤋
give it to me...i will get you a great rate of return.
2006-06-19 08:01:45 · answer #10 · answered by AreYouForReal? 3 · 0⤊ 0⤋