Is $10,000 enough to invest? and in what?

Question

I have $10,000 in a CD and I want to invest it. What and where should I invest it in?

I know the stock market now is really bad - but wouldn't that mean that I can get stocks for cheap, and then get big returns in a few years? (I'm 21 years old).

Somebody said I should invest in a money market accound and mutual funds. Can anyone tell me more about that? What exactly is it, etc?

I don't want to keep my money in the CD due to inflation eating it up.

Also, I thought about investing in precious metals or jewels, but I hear the price of gold is high now.

Answer 1

copper is very hot

Answer 2

Danny M is thinking along the right track, if you live in the US.

Basically though, Yahoo Answers is exactly the wrong place for this kind of advice. YOU SHOULD TALK TO AN EXPERT.

An expert in this case is a fee only financial planner. They are paid usually by the hour, and are independent, meaning they are under no pressure to selll you anything.

YOU NEED TO CONSULT A PLANNER. They'll be able to figure out a plan that's right for you and that you're comfortable with.

be sure to let them know your thoughts, basically tell them everything you just posted. The important thing is that you are comfortable with your planner and the decision you make after consulting he or she.

Good Luck!

Answer 3

Wrong!!! Stocks are agreat investment especially now as it hits bottom. It will rise again and so will your money.M. M. accts and Mutual funds are fine.There are many many different knids.They include stocks.Each fund will have a different type of stock company they heavily invert your money in.So research them and decide you long term or short term goals.That will help you decide on the best fund for your money. Either way you go,its a risk. A c.d. is not a risk.You make money guaranteed but not much,but it is for sure no matter the stock market. By the way I have made a ton in penny stocks. Look up Samaritan Pharmacuticals. I purchased $10,000 at .08 each and sold for .33 each.That 10x. It took only a couple months but the taxes are a killer. If I had waited I could have sold at over .80 Research a bunch of them and maybe put in a couple hundred to start and watch daily the volume and price. Where else can you double your money in a day? Good luck.

Answer 4

gold

Answer 5

Buy land.......

You'll be in full control of the investment.

Good Luck To You

Answer 6

You can invest it in an S&P 500 Index Fund. History shows that long term you should get a good return better than CDs.

Answer 7

u don't say much about your financial goals ... u might want to buy a home in a few years and eventually you will want to retire (yes I know that sounds a long way away). but u should think about goals and be guided by them....i would suggest you put at least a small part of the money in a Roth IRA and invest that money in index funds (an index fund is a type of mutual fund that has a wide assortment of stocks so as to mirror the performance of the whole stock market).

u might want to keep some part of the money in a money market b/c it is easy to get at if there is an emergency, like if your car dies suddenly. a money market is basically a high-interest savings account with a higher minimum balance.

a mutual fund is not a bad idea if you are prepared to put the money away and not touch it for a number of years.

and finally, a CD is not such a bad place to put your money...it's a lot safer than the stock market if you have a low tolerance for risk.