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gg23 · Aug 26, 2008, 01:05 PM

OK my question is how I can make the most of the money I have. $ I have 10G and I would like to invest it for long term. The saving I have now they have cd raging from 3.75. For 6 months to 4.00 for up to 60 months. I mean I know that once I have it locked in a c.d. I will be locked in that one rate. On the other hand I am worried that if the interest rate happen to be increased, then I would end up losing money if I am leave it long term. I mean what the trend the rate? Does it have the tendency to fluctuate upward or downward? ( I mean I guess it depends on a lot of other factors) but would it be a mistake to invest it in a cd if I am getting 4% for 60 months? And how does the tax apply?? do I get tax from it?

fjsmith81 · Aug 26, 2008, 01:29 PM

Originally Posted by gg23

ok my question is how i can make the most of the money i have. $ i have 10G and i would like to invest it for long term. the saving i have now they have cd raging from 3.75. for 6 months to 4.00 for up to 60 months. i mean i know that once i have it locked in a c.d. , i will be locked in that one rate. on the other hand i am worried that if the interest rate happen to be increased, then i would end up losing money if i am leave it long term. i mean what the trend the rate? does it have the tendency to fluctuate upward or downward? ( i mean i guess it depends on a lot of other factors) but would it be a mistake to invest it in a cd if i am getting 4% for 60 months? and how does the tax apply ???do i get tax from it?

You should invest in a bunch of different financial vehicles. Don't just put the whole ten grand into one. Some investments can be risky, but they have a higher rate of return than the traditional cd and savings accounts. It is never too early to start a retirement fund. You should really be speaking with a financial advisor about this. Be very leary about anyone trying to entice you into their investments. Such as movies, music, new inventions, etc.

Good Luck

Fr_Chuck · Aug 26, 2008, 01:37 PM

If youi are looking at this for a long term investment you should consider a mutal fund that is spread out over a wide group of investments.

CD seldon keep track with inflation. If you are looking for it as retirement income, even funding the max each year into a tax deffered plan

azif · Sep 25, 2010, 05:31 AM

It depends on how long you are planning on investing the money for and how much risk you are willing to take.

Eg. If you are planning on leaving it for 5+ years and can tolerate market movements consider an index fund.

Mutual funds you should be careful of high fees

Different investments will be taxed differently.

As mentioned earlier a financial adviser will be most helpful.