Where would you put 100-200K right now in this bull market for a *shorter term* (3-5 year) investment.... Hopefully that isn't a contradiction in terms.
I'm thinking annuity, but that brings huge penalties should the opportunity for a real estate investment present itself.

Any 'best stock' picks going forward in 2020?

Vanguard funds

Never an annuity, One only gains there if he is extremely confident he can out live their projections. That cuts some one else in on your gains and they do win in the long run.. Maybe a Vanguard mutual fund. My plan is to pull out of the market with a move to treasuries about 2 months prior to the real election, and right back into the market if Trump scores another term.

Boeing is a bit down at the moment so maybe 30% there, another 30% in property, and the balance split among some oil pipeline companies

Decide your risk tolerance and invest accordingly via Vanguard. If you aren’t willing to go “all in”. Consider something like 60% total stock market or S&P 500 index. With the remaining 40% in short duration bond fund as a ballast. Low expenses, and it’s pretty tough to beat the market picking individual stocks.

broom, what is your investing goal you want to accomplish in 2-3 years?

Solid advice. NEVER an annuity.

When they sell you an annuity contract, they believe they can, via investments, make much more from the purchase price than they are contracted to pay you.

Timberland..
I'm making 60% to 130% on an annual basis. And have been for 15 years

Have more money then than he does now. 😁

The stock market is not a place to make a short term investment but if you must a Vangard index fund is the place.

Thanks for the insights everyone.

Goal--I'm thinking 8-10% annually seems realistic in this market-??
We have a modest $2500 American Funds investment that did 18% this year, I realize that isn't the short term norm. (MAGA) I'm thinking I should have put a lot more in that growth fund.

CD.

interesting,
bought two of them in the last six months, and am perfectly happy.
fixed interest rates, higher than any of the banks.

The annual returns for stocks run from close to -50% to more than +50%. The average is a little over 10%. It’s not out of the range of probable scenarios that if you put in money today, you’ll have lost money three years from now. Historically, it’s been very rare that a 5 year period didn’t make any money.

The choice is taking a risk of some loss to grab a good real estate investment, or sit on it and lose money to inflation.

I’m still fully invested, but I have an extraordinarily high tolerance for risk. I’ll let it ride until well into my dotage.

If I needed that in 3-5 years, I’d be hesitant to even do an index fund. More like a dividend income fund of mature stocks that pay out well, or REITs

Definitely and annuity. And I know just the guy, he’s a former member here that specialized in them...

I would look at a company that services bridge loans or property tax loans. They’re always looking to raise capital and pay pretty decent rates

Care to offer some pointers? This interests me at a return 1/10th of what you’re talking about. Timber market is very poor in the SE from I know.

Vanguard’s most conservative Target Date Fund, Target Retirement Income (VTINX) returned 13.16% in the last year.

Unless you are comfortable with the possibility of a 50-70% loss, I would not put any money into the market that I NEEDED in 3-5 years. If you will need the money in that timeframe, stick with bonds, CD's, money markets, etc.

What kind of interest rate could one reasonably expect for those 3-5 years? What if the market took a major, major dump? What's the worst case loss vs. if a guy was in something more aggressive?

you're welcome to give me a call

Low cost index funds from either Vanguard or Fidelity.

It won't suffer tornado damage. It won't pay rent late. It won't damage your property.

+1 ... Mastercard is the only investment I have that has increased more % than Vanguard Growth in the past 12 months...

go to vanguard and see if they have a tax free muni fund for your state. the one here in pa pulls in 2 or 3% most years and its tax free. might want to educate yourself on muni's if you aren't familiar.

that'll be $500

Appreciate that. Looks like Idaho's are free of Fed and state tax...

I would hesitate to get invested right now with the major indexes at record highs. If I did I would DCA. I'm pretty heavy into American funds and they have a good track record. I average about 8%per year for the long haul. Last year was 18+% , the year before was a loss.

Vanguard has a lot of nice options with pretty low fees. Don't invest if you have to have the money at any certain time. It goes up and down.

Broom, that is a tough question for stock pics for 2020. It is record high again today , I think. I am fully vested and will stay that way. However, I am not putting anything else in till my SEP in April. I will likely put it in a multi sector bond fund . the ticker is PONAX. It is also about high right now but pays dividends monthly and pays 5% yearly in divies. During the 2008 cars it went down about 10% in price but gave back 5% in dividends. I dont think you can beat that . The price goes for between $12.00 and $ 12.10 . It was 12.09 today . It does not charge a load through Fidelity and doubt it does through Van. or Scott ECT. I just dont think the market is going to keep going up and a pullback is due. its been over a year now since we had over 10%. I would like to see a 10 % correction . A fidelity gov. fund pays 1.47% and can withdraw anytime . Spraxx is the ticker , I think.

Uhhhhh, Bitcoin. Get rich, son

Mortality crap shoot.

Vanguard funds is what wifey has.

This is not the time to dump large amounts of cash into the market, We're at a decade plus of a bull run, Historic highs at 29+,

you cant time nor predict the market, but always be mindful of a few time honored theories,

Mainly, buy low sell high.....

You're considering doing just the opposite......

Bond funds, CD's Tbills and be happy with a return of even 5%, because that's the best you'll average with low risk choices.

Be patient and cautious.

Small steps with dollar cost averaging if anything..........

We're in the same boat (we retire in 3 years and want to buy no later than 2 from now) and want to be ready to pounce when the right retirement place shows up and are not willing to risk much loss if things go south in our primary investments. Here's where we went.

https://fundresearch.fidelity.com/mutual-funds/summary/316146356

Won't earn a lot, unlikely to lose any.

I lost 20% / year 1982 -1994
I have made 20% / year 1994-2020

The stock market averages 9% over the very long term.
Some gotta win, some gotta lose.
If you are beginner, you are likely to make less than 9%.
But a beginner can buy an indexed fund and get the average.

I tell beginners to put the bulk of the money in indexed funds.
With a small part of the money, try your hand at stock picking.
When you make more money than indexed funds, start moving money from fund to stock picking.

So far no one has listened to me. They jump into stock picking and lose money.

I tell them it is like baseball. The average batting average in the majors is .248.
In your rookie year, if you could get a guaranteed .248, you should take it.
That never sinks in.

Goes without saying; but only you can decide your risk tolerance. Also goes without saying, but as that tolerance goes up, so too will your potential returns. Personally, with your stated goals, I’d be taking a hard look at REITs. NLY is one I own, and think highly of. Just keep in mind the tax consequences, especially if you decide to go with a REIT.

I'm also a Fidelity user,

for example, using the Fidelity website 'compare' option,

using the same investment option category, (intermediate core bond),

One can quickly see your FXNAX with returns of 3.67% over the last 10 years, it also quickly shows other Funds in the ICB sector that pay better with identical level of risk, for example WABAX with a return of 4.81% over the last 10 years...

Just an example, No one's right or wrong.

12 months ago, me crying over a 15% downturn,

(link didn't work) link to last December a thread I had started.

These are fat times, but you might want to be thinking skinny.

Not knowing the OP's age, risk tolerance, and future goals, I'd get an advisor with that sum of money. Diversify and DCA would be my approach. Everything is historically high.
Don't rule out the value of single or double tax-free muni bonds.

Thanks - will need to look at that

+1. I took over my aged aunt's finances right before she had several annuities that were getting ready to start paying out. I cashed them ($100K+) out. Several hundred a month guaranteed sounds like a lot until you have $6000+ a month expenses when you're in assisted living. The salesmen scare old people with the old "the market could crash and you'd lose EVERYTHING. This way, you'll have guaranteed money until you die" ploy and it works. That's how they make their money.

No annuities for me ever.

Look into Fidelity funds or Putnam funds.

They made a chunk over the last 25 years and last year made us more than 13000+-.

Some CDs might pat 3 or 4 % but i doubt it.

I’d throw some of it in oil & gas.

+1

I invested a whole bunch in pussy!

I have 25% of my money in what TIAA calls an annuity. It has guaranteed 3.3% return. That is my "safe" investment. I think the only string attached to that fund is I can only take out 10% a year when the time comes to retire, or maybe only move 10% a year. Again I am not 100% sure on that.
I am not retired, and I can move money in different rick associated funds, but it has to stay in TIAA hands for a few more years until I retire.
So for a "safe" investment is 3.3 % OK?

Terry, in my opinion, the 3.3% yield by itself does not mean "safety." If you do not understand your investment, then IMO, it is not safe for you.

Annuities are underwritten by insurance companies. Insurance companies have a general track record of being reliable and sound financial institutions. The general consensus of most of the reading I have done on annuities is that they are relatively "safe" and proven income sources (as opposed to equities and bonds) that you cannot outlive, and which are best utilized to pay for the recurring needs of one's life, such a food, shelter, clothing, utilities and services, transportation, and insurance. These are the type of recurring "bills" one must pay for, over the course of one's life. Interestingly enough, it is the stock market where insurance companies make their profits.

Sure are a lot of posters swearing by index funds. They are great, but the O.P. is in it for 3 yrs and index funds are not good 3 year investments. In 3 yrs we could see these index funds down 30 % , easy. Index funds are 10 yr. minimum time frame, , , maybe 5 yrs. It is an investment that needs
" time in the market" . There are also many annuities. Not all are bad , but most are very expensive. My parents bought 2 annuities from a " friend" 20 yrs ago ( He was loaded too.) . I took a look at them last year . One was charging 5% and 2.25% every year if the funds made a certain amount of money. I figured they gave back half the gains. A closer look told me they were there funds. One was a Nasdaq , a Dow Jones and and S&P 500 fund that was home made by them so it would be hidden what kind of fund it really was. I noticed there was a 2% turnover rate for one. Proof it was just an index fund. I was furious.

Life settlements/viaticals.

The problem is, it’s not safe. Today we live in the lowest inflation economic environment in two lifetimes.... and 3.3% just barely keeps up with that.

Where is inflation going to go? Any tick up to historically “normal” levels leaves you actually losing money, AND you can’t get out!

That’s not safe.

I’m not at all a fan of annuities, but anything in that whole barrel of fish hooks you buy should at least be inflation indexed.

Good grief.

https://www.bankers-anonymous.com/blog/how-not-to-invest-viaticals/

I’m heavily invested in the raccoon market it’s a winner for sure

not even close to being accurate

I like this advice - in 3-5 years we could have a democrat in the White House. Heaven help us if that is the case.

Why isn't this 17 pages yet?

You must sell this junk.

One can purchase "inflation protection" inside one's annuity. There are so many "options" available with annuities, they cannot be adequately discussed in a campfire thread. Interestingly enough, there are only a handful of insurance companies who write the vast majority of annuities. Bottom line is that annuities can provide lifetime income certain, and that is a financial situation for which many are searching and willing to pay.

And better not to bother discussing them because they all suck. If an investment is consistently bad enough that it makes sense to buy insurance against it not even keeping up with inflation it is the jewiest of jewscams and you should avoid it and anyone who suggests you buy it.

OP, if your plan is to buy and hold don’t do that. If you absolutely are going to regardless just buy a total stock market index fund like VTSMX or VTSAX or FSKAX or the like.

If you are fine with active trading but don’t want to be bothered doing it, open an account with a roboadvisor that has good tax loss harvesting. Pick a risk profile you like and go. If you change your mind about risk, just change your risk profile on the fly. Places like Wealthfront and Betterment do well at this and aren’t expensive.

It doesn’t seem like you want to be more active than that.

Is this your personal opinion? If so, on what do you base it? And what is your objective definition of "suck." Overall a pretty sophomoric comment, IMHBAO, in what could be an informative thread.

I'd select a 60/40% Asset Allocation fund to get a balance of growth and safety. Depending on your time frame, you might want a 70/30% or a 50/50% fund. Pick one with a lo expense ratio (costs can eat your growth over the long run). Vangard offers some good ones.

I posted it, who else’s do you think it could be?

I’m sure your struggles with the English language are legendary so I’ll leave it up to you to unravel what “suck” means in this context. Here is a hint:

Q - why did sales of annuities fall off significantly after brokers were required to act as fiduciaries?
A - because annuities suck

Get a fiduciary.

The folks that are professionals don't rub elbows with the likes of us, and they don't give it away.

American Funds Investment Company of America mutual fund has been very good to us. Ours went up 25% last year and we are conservative investors.

Good point. And lastly, Never, Never, Never take advice from someone who is selling "investments". Get fee for service advice. It's cheap, compared to taking advice from brokers.


If brokers knew what they say they do, why would they be wasting their time selling "investments"? They would already be jillionaires.