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  1. #1
    Join Date
    Oct 2003
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    my desk...unfortunately!
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    Money Market or CD

    I have a somewhat sizeable chunk of change that has been sitting in an interest bearing savings account for a short time, money that was given to me as a tax free gift from a relative (a very wise investor). Anyway, I spoke to him about the wisest way to invest the money so it doesn't just burn thru like other investments I have made. I could write a book called "How to turn $4,000 dollars into $400 in one simple step using E-trade".

    So which would you choose: a CD or Money Market account? Both being safe ways of making a little money over the next year or two while we see what happens to the Stock Market.

    Other suggestions? Also, hookers and blow have been considered, but really, I just hate the guilt I feel when i have to bury her in the desert when things get just a little too crazy. Also Ski quiver is kinda full.

  2. #2
    Join Date
    Sep 2006
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    Midgaard
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    Which one has the better rate? Only difference is that MMA is more liquid right? Depends on how fast you would like to be able to jump on a more lucrative investment.

  3. #3
    Join Date
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    Yeah money market is more liquid, so if I needed cash or found something better, here are the current rates I am seeing.

    for a MM account with $2,000 - $9,999K invested, you get: Annual Simple Dividend of 2.62% with an APY of 2.65%

    on a CD of similar amount: Annual Simple Dividend of 5.06% and an APY of 5.25%

  4. #4
    Join Date
    Oct 2003
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    写道
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    13,434
    ING gives you 4.5% on an on-line savings account:

    http://home.ingdirect.com/products/products.asp

    CDs will give you up to about 5.5%, but the money's tied up for a period of time.

  5. #5
    Join Date
    Mar 2007
    Location
    CO
    Posts
    283
    wine... good investment and utility. No joke, have a friend who's retirement will come almost exclusively from wine he bought by the case in the 80s for less than 10 bucks a bottle - now valued at 10-20xs that. Plus, you get to enjoy parts of your investment as you go. Not what to do with all your $, but perhaps some of it?

  6. #6
    Join Date
    Oct 2006
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    The "Right" Coast...
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    Indy, depending on your income level place it in a money market and use it to fund a ROTH IRA. If you have an employee match on a 401K, do that to the max first, then fill the ROTH IRA up.

    If you dont want the money tied up too long and you are looking for a "safer" bet that is still relatively liquid I would consider buying some closed end funds through your broker.... Putting "investments" into a money market or a CD is akin to tredding water, you wont make much progress one way or the other.

    That being said, it's tough to make any rec. without knowing the whole story, so take it for what it is worth.

    Good luck.... and I heard a rumor that while vacations may not be the best use of retirement funds, they are hella fun!

  7. #7
    Join Date
    Jan 2005
    Posts
    397
    AmTrust Direct, currently is at 5.36% on a M.M.

    http://www.amtrustdirect.com/

    I have been happy with my account there

  8. #8
    Join Date
    May 2006
    Location
    Locked in a lab
    Posts
    308
    If you trust the market in general, but not your ability to pick, and don't want management/broker fees, look at Exchange Traded Funds.

  9. #9
    Join Date
    Dec 2006
    Location
    In bed with the goomah...
    Posts
    418
    Neither.

    Buy put options on margin for GOOG, GS and AAPL.

    The market run has come to an end.
    Last edited by Tony; 03-20-2007 at 10:48 AM.

  10. #10
    Join Date
    Oct 2003
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    50,491
    C'mon, CD's and Money Markets are for rich people and retirees. The Roth Ira is a fine idea, with a mix of International stock funds and Bond funds.

  11. #11
    Join Date
    Sep 2001
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    The Cone of Uncertainty
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    I dunno, but I do know that Benny's sig should read "The hairy-handed gent who ran amuck in Kent".

    Just sayin'.

  12. #12
    Join Date
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    Is that what he says? jeez, time for a new sig........

  13. #13
    Join Date
    Jan 2004
    Location
    SW CO
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    1,083
    If your're under 35, then I would go with and index fund/mutual fund or a Roth IRA. If your're over 40 then I would lean towards the type of stuff your're looking at now.

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