I'm coming up on a lump sum of money. $72,000 to be exact. Whats the best way to grow this money?

Question

My ING savings gives me 4% interest. Can you think of any investment that can beat that??? Help me out.

Answer 1

i would take a little out, buy yourself something so you don;t feel like you are always working for nothing, then invest the rest. ING offers 4.35 interest on just a savings account. I think Citibank was offering 5% put on a CD - if you can tie the $ up. Try laddering CDs and maybe even check on rates for a money market so you have some available in case of emergencies.

Don't rely on stocks - they are a gamble.

Answer 2

If you have any outstanding debt, pay it off first.
If you still are paying on a mortgage, you might consider paying down some or all of your principle.
If you do not own a house, you should consider purchasing one.

Look at some saving vehicles like IRA's, Money market accounts.
Vangard is a decent group to try out.

If you have children, you might consider a college fund.

If you have a family, where kids are out of the house, you can give
them money as a gift. Up to a certain limit, I think that monetary gifts are not considered taxable income.

You have the right idea though, take your time in chosing what is best for you. Not everyone will give you advice for your benifit unless there is something in it for them. Even I am getting something , my 2 points... vs. my 2 cents :)

Answer 3

Hello -- no one here can give you an accurate way to invest because they do not know YOU. What do you want to use the money for? If for retirement, how long do you have? What is your risk tolerance?

There are many strategies such as investing in CDs, investing in stocks, private businesses..... etc But I recommend speaking to a professional investment advisor for your situation. Ask your close friends or family who they work with.

Here is a strategy you may want to consider (again without knowing your personal situation) Invest the money (minus $4,000) into a Municipal bond or municipal bond mutual fund in your state. It provides tax free growth The long term growth if you account for the tax savings is about 7-8%. The remaining $4000, invest it into a roth IRA. Again because it is tax advantaged.

One thing you may want to do is put the tax free income provided from the muni bond and put it into the roth ira. and be sure the roth ira is diversified.


just an idea -- but talk to someone that can adivse based on your needs.

hope this helps

Answer 4

It depends on your time horizon and risk tolerance.
If you can invest with a time horizon of three years or more, I can show you an approach that can help you double your money every three to five years. The link is below.

The risk is two to four times less than buying and holding an S&P500 index tracker, but it's still higher than keeping your money at ING for an annual 4%.

Whatever you do, make sure the results of any strategy that you choose to follow have been audited, over a long period of time, by an independent, credible external company.

Let's make money!

Good luck

Marc

Answer 5

you need a return of at least 6% to beat inflation. An index fund or a growth mutual fund with a good history would be a good investment. With good financial advice you can invest in the stock market. the stock market has had the best returns of any investment vehicle, althought it is much more risky. Of course investment is only after you are debt free and have your retirement account and emergency fund with about 3-6 months of expenses.

Answer 6

Yes, you can beat this.

But, ONLY if this Lump-sum is for Long-Term Savings. To age 59 1/2 or over.

You can Turn that Taxable Interest into Tax Deferred Interest with Fixed Annuities.

To learn More and to get specific details go to:

http://www.jdsannuities.com/annuity_rates

Answer 7

You need to invest your money in a money market. The best way to do this is by contacting a financial advisor. I use Northwest Mutual Investment Services. It's the safest way to make money unlike the stock market.

Answer 8

perhaps you can try forex. which is also excellent way for you to invest.

The FOREX or Foreign Exchange market is the largest financial market in the world, with an volume of more than $1.5 trillion daily, dealing in currencies. Unlike other financial markets, the Forex market has no physical location, no central exchange. It operates through an electronic network of banks, corporations and individuals trading one currency for another.

try forex from here:

http://www.bernanke.cn/easy-forex/

Good Luck && Wish you make a fortune!

Answer 9

break it into approximately 6 egual parts.

1. ING savings
2. oil stocks
3. chinese and indian stocks
4. large cap investment grade stocks that pay dividends
5. small to medium cap stocks
6. growth stocks or undervalued stocks (whichever you prefer)

you can find index funds and mutual funds in each of those categories. Or you can pick your own stocks.

Under normal market conditions, such an approach should yield about 10% return annually.

Answer 10

Frist take some out for you to blow say 2000 - you don't really have to blow it but buy yourself something you have wanted for a long time and just wouldn't get -- then go to Edward Jones and talk to them - they can show you ways to make your money work for you and grow -the choice is always yours they don't push you into anything you don't want to do.good luck