I have about 1000 dollars to invest in but I dont want to put it in a fix rated cd account... because the interest rate is to low for me. I have been taking a look at the Market Rate CDs and this seems like what I am looking for. I am looking for something I can invest 1000 dollars into, that has an average interest rate of 10 percent or higher and is also FDIC insured.
Any suggestions/recommendations?
If you have invested into the Market Rate CDs how much profit did you make?
2006-07-19 12:46:10 · 4 answers · asked by mookie123 1 in Business & Finance ➔ Investing
ok, I have seen places that garantee your principal investment back just not any increase in your money. That is what I am looking for, if you have any know where I can take a look at this leave me the link
2006-07-19 13:13:54 · update #1
Market Rate CDs are FDIC insured yes. But, there is no guaranty that you will make any money. It matches the market performance which can be positive or negative. FDIC only means if the bank goes out of business, the government will cover your loses up to $100k per account per bank.
There are no guarantied rates at 10%. The best CDs at a year are around 5.5%. That is as good as it gets without any risk. Check bankrate.com.
The market on average is 8%. So it would be impossible for anyone to guaranty anything over that. Most mutual funds have a hard time matching market average. If you could find 10% nobody would invest in the market.
2006-07-19 13:04:10 · answer #1 · answered by skinny0ne 3 · 0⤊ 0⤋
Interest rates of 10%, well I'd like to find them. Didn't know they were still selling money market CD's. Some of us lost money in money market CD's in that we'd failed to realize an increase in value when they were sold. Before you invest check the internet and ask questions and READ THE FINE PRINT.
2006-07-19 19:56:22 · answer #2 · answered by longroad 5 · 0⤊ 0⤋
Forget 10% return !
No bank will guaranty that !
Wamu Bank & Bank of America have decent offers.( on CD )
You`ll recieve about 5.25 % annually ...but -
Don`t lock it for more than 6-7 months ! Interest rates may be still going higher !
You could than re-invest !
A Penny saved is........
2006-07-19 19:58:37 · answer #3 · answered by Dolev 2 · 0⤊ 0⤋
If you find a place that will guarantee 10%, please let me know about it.
Why put money in a CD at 5% when you can stick it in a online savings account like ING Direct for about the same return?
2006-07-19 21:58:29 · answer #4 · answered by Danny 1 · 0⤊ 0⤋