[drdodge]

try Parady ....11 per cent bonus up front and 7.5 per cent per year
Parady Financial group
Lady Lake
352. 751.3016

[collie1228]

What's interesting is that if you had not moved the $250K out of the market and kept it in a broad stock index like the S&P 500, you would have had a gain of over 33% between the date of your original post and yesterday's market close (ignorning taxes and mutual fund fees). If you put that $250K in a money market over that period, you might have made a total of 1% on your money, or $2,500. Leaving it in an S&P 500 index fund, (ignoring taxes and fees) your balance would now be around $330K. Good lesson here - one that I've learned the hard way - invest it and forget it. Even in the bad years, it has always come back . . . so far, at least.

[784caroline]

drdodge
You have to be kidding me to think that someone can provide you 11% interest or even 7.5% interest return worry free in todays market.

If its too good to be true ..well you knowthe answer.

[Boomer]

This thread began almost a year ago, and since then we have seen quite a run-up in the market, as it shakes off all kinds of bad news -- to the point where I sometimes have to wonder if this market is completely immune to reality.

Out of curiosity, I just now looked up one of the most well known index funds. I wanted to see how the numbers told the tale over time. Here's what I found.

Vanguard 500 Index:
1 yr. 49.73%
5 yr. 1.84%
10 yr. -0.73%
since inception in 1976 10.58%

When looking at risk and at returns, I try to keep in mind the words of that great philosopher Mick Jagger -- well I guess really it is a paraphrasing of those words, "Time Is Not On My Side." Well.....not like it used to be anyway. Not that I don't like the market...still do....but....

(Oh, and btw, I was all set to digress a little by putting a You Tube clip in here of Mick Jagger singing "Time Is On My Side." But.....well....when I found it....well, it was just downright embarrassing. He was wearing some hideous white pants. He looked like one of those creepy guys that used to hang around the Greyhound Bus station picking up cigarette butts...and so I spared you...great song though.)

Boomer

[drdodge]

Caroline 784
I think you should talk to some financial people.
, there are a lot of companies that will pay you bonus going in and between 6 and 8 percent a year and if the market goes down you do not loose any money

[2BNTV]

I am not a Financial advisor nor do I pretend to be an expert on finances.
I consider myself one of the lucky ones to have have come out of the "great recession" in good shape.
My financial advisor at Schwab advised me to get out of a portofio of mostly bonds when the market was at 9,400 and temporarily put it in a Money Markert fund until I felt safe to start reinvesting. at that point, my portfolio was down 18%.
I also had cashed out of an annuity at Merrill Lynch that has lost 25% of its principle. My accountant advised that I divide the total amount received and put into 6 month CD"s at the start of each month. So at the beginning of every month, I would have my money available to pay for any unforseen expense.
WHen the market climbed back to 8,200 from the low of 6,600 points. I was advised to put it into a Schwab Managed Portfolio. That portfolio has returned 30%.
The CD"s will give you peace of mind that you will not lose any money although your gains will not be great and you will have liquidity.
The portfolio will be subject to stock market conditions. I still see the market as growing for the next year but it will be choppy.
Liz Ann Sonders of Schwab has been one of the few financial people who has been accurately predicting how the market will do.
Since you asked, I would consider taking 100K to put in a conservative managed portfolio and the rest to be dived equally in 6 month CD's.

Again, I am not a financial advisor but so far I have been lucky to listen to the right people.

I've been poor and rich and being poor stinks. - Mae West

[RayinPenn]

About a year or more ago a friend (57) was 'helped' by our mutual employer to retire. she was with our firm for 30 plus years had seen it coming for some time but it was still painful. Of course she was heavily invested in our firms stock; Yes, too many eggs in one basket. You can guess that shortly after her departure the crash hit. She called me and asked for advise..I urged her to wait it out ..ups and downs are all a part of the market -no matter how drastic. well I haven't heard from her in while I'll bet she panicked and missed the comeback.

Now to your question find a inflation proof investment like real estate..The current administration is spending money we don't have..hyper inflation is coming as sure as god made little green apples. Do not put it in a long term fixed income instrument...RayinPenn

[Russ_Boston]

Not sure this was clear so I just looked it up. The 250K FDIC protection was extended to 2014:

http://www.fivecentnickel.com/2009/0...-through-2013/

[REDCART]

In the NYC metro area, David Lerner and Associates has a following. Since 1993, they have created a number of illiquid REITs which invest in prime hotel properties, Hilton, Marriott (and Marriott subsidiaries). Their current offering, Apple Nine ($2 billion cap) has been paying 8 percent. I've heard some financial planner poo poo this investment but it appears to have below average risk. Anyone have experience with David Lerner or their Apple REITs investment? Seems like a nice place to park money at this time.

George

[jmitchell]

Originally Posted by cabo35

If you pulled 250k out of the stock market....where would you put it?

I know its tempting, but, please play nice with the question.

Consider:

Preservation of wealth in the short and long haul.

Safety of investiments?

Return on investments?

Cabo35,

I can't resist -- TV issued tax-exempt bonds

[jmitchell]

Originally Posted by KayakerNC

Index funds with a guarantee?
Or did you utilize some sort of an annuity package?

Yes, please let us in on this. Are they Merrill Index funds?

[batman911]

Good one jmitchell.

My take on the $250K is:

1. High/Medium Risk: Invest half in a 500 Index fund and the other half in good quality companies that stand to gain on a market up turn. There are still a lot of under priced stocks. This is a good time to pick some winners if you can afford to put the money at risk.

2. Meduim Risk: Buy utility stocks for the dividend income. Some down side principal risk but more stable than most. Do not go only for the highest dividend. Take a good look at earnings per share and other assets the company owns that could affect stock price.

3. Safe: Government Bonds/Notes. 10 Year currently about 2.74 %.

Remember the high interest rates usually go along with high inflation. Low interest rates are not a bad thing unless you are stuck there and inflation takes off. I would be happy at 1% if inflation was the same.

[tonyafd]

Withdrawal from the stock market is something to consider right now because oil prices may choke off a recovery. However the Treasury yield curve is steeply up-sloping. Which is bullish.

While a healthy middle class is decreasingly important to corporate profits, one must take into account the relationship of oil prices to corporate profits.

Kiplinger's Magazine is recommends short term high grade bonds, because interest rates have nowhere to go but up.

This is a tough call.

[tonyafd]

"Now to your question find a inflation proof investment like real estate..The current administration is spending money we don't have..hyper inflation is coming as sure as god made little green apples. Do not put it in a long term fixed income instrument...RayinPenn[/QUOTE]

Raw land maybe but not houses.

[Celebrator]

Everyone has different circumstances, needs and risk tolerances. I suggest having a fee based financial advisor provide you with expert advise. Make sure to interview the advisor to see if you are comfortable with his/her philosophy.
Good luck!