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March 27, 2015, 01:43:31 PM |
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Depends on your appetite for risk,
You'll earn close to zero at a bank, but you won't lose money (assuming you're in the US, other countries may be different). If you can commit to not touching those funds for a period, you'll get slightly more for a CD
Whereas anything else, you do face risk.
For certain, if you need access to your cash in 6 months to a year, saving it is the better way to go, but the further out your timeframe goes, the better the likelihood of a positive return elsewhere.
dependinh how much you have to save invest, I'd say that you should approach investing in a diversified manner; don't just go 100% gold or 100% real estate, but rather allocate some money to gold, to re and to equitutes. Mr reason being, just as it's usually a bad idea to put all your eggs in one basket by buying only shares of a single company, where you have to worry about that companies operations, and whether or not it falls out of favor with other investors, putting all your funds into one asset class, while you're diversified in that sector, leaves you vulnerable to that sector falling out of favor;
You don't have to pick stocks or pick bonds, you can buy ETF's with exposure to hundreds or even thousands of underlying company's or bonds.
Long answer to a short question. Really we need more info about you, your goals, etc to be able to make even a guess
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