So you have $1,000,000....

**RootSkier** · 09-08-2009, 08:46 PM

Originally Posted by leroy jenkins

Put 100k in a savings account, probably spend about 20k of it on toys trips whatever, use the remaining 80k to help pay expenses when times get tight.

Can I be your accountant?

**pepperdawg** · 09-09-2009, 05:09 AM

Buy some shares in the Magic Mtn coop dammit

**DoWork** · 09-09-2009, 06:39 AM

^^

That's what I was going to say!

**H0G** · 09-09-2009, 08:26 AM

I would use it to buy up more foreclosures and short sales here in denver.

**The AD** · 09-09-2009, 08:38 AM

I'd buy John Merrick's remains (those crazy elephant bones).

**Liveezy** · 09-09-2009, 09:25 AM

No effort high interest savings account. 5% A.E.R = 50k Per Annum and thats the minimum you would get!

Liveezy off the interest!

**mmmthmtskier** · 09-09-2009, 10:00 AM

Originally Posted by Huckin eh?

25% real estate
25% growth stocks
25% bonds
25% Hookers and blow!!!!

Like I always say, diversify...

**Benny Profane** · 09-09-2009, 10:58 AM

Originally Posted by Liveezy

No effort high interest savings account. 5% A.E.R

And, where on your planet are they giving rates like this?

**grrrr** · 09-09-2009, 11:02 AM

I'd open a payday loan shark business. They're booming right now.

**Kevo** · 09-09-2009, 11:16 AM

vangaurd.com

Target retirement fund. Already pre-diversified depending on how soon you want to retire.

Done.

**grskier** · 09-09-2009, 11:17 AM

Originally Posted by givebackbloom

Let's just say somehow you came into $1,000,000.
How would you go about investing this?

More specifically what % would you put in individual stocks, bonds, commodities, indexes, etc?

Buy a small condo... that's all I could afford here for that.

**Benny Profane** · 09-09-2009, 11:35 AM

Originally Posted by Kevo

vangaurd.com

Target retirement fund. Already pre-diversified depending on how soon you want to retire.

Done.

Check the performance of those things in the past few years. So much for contemporary financial advice. I pity those who targeted 2010.

**Dromond** · 09-09-2009, 11:43 AM

Originally Posted by Benny Profane

Check the performance of those things in the past few years. So much for contemporary financial advice. I pity those who targeted 2010.

Seriously, though - isn't most anyone who was divesting themselves of stocks gradually over this decade going to be generally screwed unless they got lucky with timing? (Or had a crystal ball.)

**SkiCougar** · 09-09-2009, 11:46 AM

wait for the next market pullback that's coming in the next month or 2 and either put it in the in the s+p 500 index or have some financial guy you believe in handle it for you and sell dec. 31st.

then, being in Houston, i would drop 700k on 7 rental houses; 7 paid off rentals in Houston brings in about $700 per - monthly after expenses and mgt fees.

put the rest back in the s+p 500.

you've got about $5000 coming in monthly and more money invested than all but about 10% of the country.

most could retire on that pretty easily. maybe you're not living slopeside in vail; but you could find something in CO or UT and the rest of your life is yours.

**Benny Profane** · 09-09-2009, 11:51 AM

Originally Posted by Dromond

Seriously, though - isn't most anyone who was divesting themselves of stocks gradually over this decade going to be generally screwed unless they got lucky with timing? (Or had a crystal ball.)

Or paying attention and didn't get screwed by believing autopilot would work while paying these people a fee to lose their money.

But I heard my TV telling me last week I should have my age in stocks in my portfolio, after all that has happened. Some people never learn.

**Dromond** · 09-09-2009, 11:53 AM

Originally Posted by Benny Profane

Or paying attention and didn't get screwed by believing autopilot would work while paying these people a fee to lose their money.

But I heard my TV telling me last week I should have my age in stocks in my portfolio, after all that has happened. Some people never learn.

Yeah that %0.2 fee is killer....

So basically you answer is that they should have appropriately predicted the stock market crash and pulled all of there money out just before?

**Brock Landers** · 09-09-2009, 11:58 AM

Originally Posted by Benny Profane

Check the performance of those things in the past few years. So much for contemporary financial advice. I pity those who targeted 2010.

Target rate funds are the biggest crock of shit in the investing business. Or at least in the discussion. Target Rate 2010 had like 40% in stocks at the time of the crash.

If I were to invest a Mill (after paying off school loans, I didnt need a house, had money on the side in case things got tough, took a nice vacation, etc) you generally want to know how risky of a mind you have, how old you are, or when youre going to need the money, and how well off you intend to live.

From there you can build a well-diverisified portfolio that should give you a better shot over the long haul than putting it all in one or two things. Unless youre retiring next year...then get a CD.

**Liveezy** · 09-09-2009, 12:12 PM

Originally Posted by Benny Profane

And, where on your planet are they giving rates like this?

OK, my bad. There are restrictions on that particular service. However, 2.4% is available on balances up to 9m. Given the current climate, im sure if you went in branch you could negotiate a better deal.

**Benny Profane** · 09-09-2009, 12:26 PM

Originally Posted by Dromond

Yeah that %0.2 fee is killer....

So basically you answer is that they should have appropriately predicted the stock market crash and pulled all of there money out just before?

The .2 adds up, you know. Ferraris don't grow on trees.

Basically my answer is that YOU should have been and should be paying attention at all times to what's going on in the markets, don't get greedy, and jump into safety if it looks like he shit will hit. Don't trust a soul, especially these managers, because, what have they got to lose? They get theirs either way. And, in the case of Vanguard, they'll just direct you to another of their myriad of investment choices that they recommend when you get on the phone to bitch and whine. "I'm sorry, Mr. Dromond, but, if it's safety you're interested in, why not try one of our many bond funds? I'll just transfer you [click][bad, bad music.....................................]"
You know, you can do this yourself these days with this internet thing. You aren't locked into the fund forever. It may cost you a few bucks to switch funds, but it's better than losing 40%.

**GBB** · 09-09-2009, 12:28 PM

So let's mix things up a bit.

What would be your strategy if you were trying to get the highest possible returns in 3 months?

**Dromond** · 09-09-2009, 12:37 PM

Originally Posted by Benny Profane

The .2 adds up, you know. Ferraris don't grow on trees.

Basically my answer is that YOU should have been and should be paying attention at all times to what's going on in the markets, don't get greedy, and jump into safety if it looks like he shit will hit. Don't trust a soul, especially these managers, because, what have they got to lose? They get theirs either way. And, in the case of Vanguard, they'll just direct you to another of their myriad of investment choices that they recommend when you get on the phone to bitch and whine. "I'm sorry, Mr. Dromond, but, if it's safety you're interested in, why not try one of our many bond funds? I'll just transfer you [click][bad, bad music.....................................]"
You know, you can do this yourself these days with this internet thing. You aren't locked into the fund forever. It may cost you a few bucks to switch funds, but it's better than losing 40%.

FWIW, those vanguard Target funds are made up of index stock and bond funds so there aren't any managers in the traditional sense. Thus why the expense ratio is closer to %0.2 instead of %2.0 like some managed funds.

Personally, I think that your suggestion that the individual investor should have their finger on the pulse of the stock market and can successfully, repeatedly, predict the performance of the market is huey. I'll take the hands-off, low cost approach.

**Brock Landers** · 09-09-2009, 12:37 PM

Originally Posted by givebackbloom

So let's mix things up a bit.

What would be your strategy if you were trying to get the highest possible returns in 3 months?

Small Cap Index....in US Dollars

Originally Posted by Dromond

Personally, I think that your suggestion that the individual investor should have their finger on the pulse of the stock market and can successfully, repeatedly, predict the performance of the market is huey. I'll take the hands-off, low cost approach.

Everyone cant have their finger on the pulse of the market. And if they did, a lot of people would also be wrong and miss the up days because they have their money hidden under the mattress. Timing the market is nice in a fantasyland kind of way but it doesnt work.

**Dromond** · 09-09-2009, 12:42 PM

Originally Posted by Brock Landers

Small Cap Index....in US Dollars

Everyone cant have their finger on the pulse of the market. And if they did, a lot of people would also be wrong and miss the up days because they have their money hidden under the mattress. Timing the market is nice in a fantasyland kind of way but it doesnt work.

Thank you for phrasing that better than I could.