Page 2 of 5 FirstFirst 1234 ... LastLast
Results 11 to 20 of 41

Thread: if you had 10,000 to invest

  1. #11
    Senior Member
    Join Date
    Aug 2016
    Posts
    1,593
    Kind of like the lazy three fund portfolio?

  2. #12
    Senior Member iris lilies's Avatar
    Join Date
    Mar 2013
    Posts
    11,080
    Quote Originally Posted by Tybee View Post
    Kind of like the lazy three fund portfolio?
    I dont know what that is, but maybe.

  3. #13
    Senior Member catherine's Avatar
    Join Date
    Jan 2011
    Location
    Central Jersey
    Posts
    7,090
    I have a Vanguard REIT index fund that's really going pretty well these days.
    "Do any human beings ever realize life while they live it--every, every minute?" Emily Webb, Our Town
    www.silententry.wordpress.com

  4. #14
    Senior Member
    Join Date
    Dec 2010
    Location
    SoCal
    Posts
    6,421
    that's all assuming he'll keep it in stock, however if he is really scared of losing money, come the next recession, he won't. So in that case maybe consider a different strategy, really no point in buying stocks if your just going to try to time that market, that's just a waste, most anything works better than that (or something like bonds probably would at any rate).
    If you want something to get done, ask a busy person. If you want them to have a nervous breakdown that is.

  5. #15
    Senior Member Rogar's Avatar
    Join Date
    Jan 2011
    Location
    Colorado
    Posts
    2,341
    Vanguard Wellington. Two thirds stocks, one third bonds and low management fees. Well diversified. Been around since 1929.

  6. #16
    Senior Member
    Join Date
    Aug 2016
    Posts
    1,593
    Is it closed to new investors though, Rogar, who do not have an account at Vanguard? His is with Schwab. I have Wellesley and thought of Wellington for him for the reasons you state.

  7. #17
    Senior Member
    Join Date
    Aug 2016
    Posts
    1,593
    Okay, just answered that question. Tried to buy VWELX from Schwab and it will not let me--closed to new investors.

    Any Schwab equivalent that anyone can think to recommend?

  8. #18
    Senior Member
    Join Date
    Jan 2011
    Posts
    4,606
    I am following this earnestly. I have about $20K in laddered CD's that are getting okay interest, and it took years to get to that okay interest. Before that I had a fund that lost a lot of money for awhile. Now that the economy may be a little more stable I would like to get a better investment, (these are IRA funds also). I am not even sure where to start, and I am 50 and in excellent health, so planning on keeping money in for 20 years.

  9. #19
    Senior Member
    Join Date
    Dec 2010
    Location
    Price County, WI
    Posts
    422
    Coincidentally $10,000 is the limit (per social security number) a U S person can buy per year of Treasury I Bonds. Treasury I Bonds are bought and cashed through Treasury Direct, so no broker is involved. They cannot be cashed within 1 year.

    They pay compound interest equal to CPI-U (a measure of US inflation) plus a "fixed rate" which currently is zero for bonds bought during the current 6-month period. The fixed rate will be reset by the US Treasury every 6 months for bonds purchased at that time. If cashed in years 2 through 5 the compounded interest would be reduced by a 3-month interest penalty. After year 5 they continue to compound for 25 more years.

    The I Bond pushes money into the future with some inflation protection. The return is relatively small (unless inflation is unexpectedly rapid). But there is no risk of loss in case of deflation (as with TIPs), a stock market crash (as with an equity index fund), or rising interest rates (as with a bond fund). There is no default risk. (The Treasury promise to pay is backed by the full faith and credit of the United States.) Taxes are deferred until the I Bond is cashed.

    I personally buy $10,000 I Bonds per year, generally near the end of May. To be able to do so, I set $833 aside each month in an online savings account. I intend to accumulate a ladder of I Bonds, buying $10K annually until 2020, and cash them in 2035.

    In my view, securities markets are "priced for perfection", and buyers of bond and equity funds at the prices prevailing in September 2017 are likely to experience 12-year returns that will be zero or less. (For the reasoning behind the expectations of negative returns, look up John Hussman, Weekly Commentary.)

    Nothing herein is to be construed as investment advice. I am stating personal opinion only.

  10. #20
    Senior Member
    Join Date
    Aug 2016
    Posts
    1,593
    Quote Originally Posted by dado potato View Post
    Coincidentally $10,000 is the limit (per social security number) a U S person can buy per year of Treasury I Bonds. Treasury I Bonds are bought and cashed through Treasury Direct, so no broker is involved. They cannot be cashed within 1 year.

    They pay compound interest equal to CPI-U (a measure of US inflation) plus a "fixed rate" which currently is zero for bonds bought during the current 6-month period. The fixed rate will be reset by the US Treasury every 6 months for bonds purchased at that time. If cashed in years 2 through 5 the compounded interest would be reduced by a 3-month interest penalty. After year 5 they continue to compound for 25 more years.

    The I Bond pushes money into the future with some inflation protection. The return is relatively small (unless inflation is unexpectedly rapid). But there is no risk of loss in case of deflation (as with TIPs), a stock market crash (as with an equity index fund), or rising interest rates (as with a bond fund). There is no default risk. (The Treasury promise to pay is backed by the full faith and credit of the United States.) Taxes are deferred until the I Bond is cashed.

    I personally buy $10,000 I Bonds per year, generally near the end of May. To be able to do so, I set $833 aside each month in an online savings account. I intend to accumulate a ladder of I Bonds, buying $10K annually until 2020, and cash them in 2035.

    In my view, securities markets are "priced for perfection", and buyers of bond and equity funds at the prices prevailing in September 2017 are likely to experience 12-year returns that will be zero or less. (For the reasoning behind the expectations of negative returns, look up John Hussman, Weekly Commentary.)

    Nothing herein is to be construed as investment advice. I am stating personal opinion only.
    Thanks for a really interesting point of view and something to think about...

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •