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Which is the best investment for a 3 month 10,000 investment? |
CDs, Corporate Bonds, Stocks, Index Funds, Money Market. Each of these I am concidering. Which one would you recommend and why? If possible, please state any risks associated with it as well. If you're talking 3 months, I'd go with the CD or a Money Market because right now the market is in a bit of a downturn. I'd really stick with the CD b/c the rate would be held for that 3 months, while the money market could, and probably will go down, especially if the fed drops rates. Bonds, Stocks, and Indexes are all based off of the market and while I would recommend them over the long haul....I wouldn't touch them over the short haul because there is a greater chance of loss, especially if the market continues it's topsy, turvy go. Good Luck. For 3 months? Go with t-bills. I admit the rate currently is very poor but for 3 months, it is still probably your best bet. well i recently invested the same amt of money but over 5 months and i invested it in a CD with what should be a return of +500 USD$...my bank had a 4.9% intrest rate...i invested in Montecello Bank in Florida, with a limited amount of time it seems that you wont make much money but the best bet is a CD For 3 months, I would go day trading but make sure you withdraw before the dividend date. I would recommend a money market account. Any time you are investing for such a short time horizon, you'll want to stay in "cash". T_Bills! UFBDIRECT.COM is a free savings account online that pays 5.12% APY with no fees or minimums. I have been an account holder for 5 months and everything seems fine and the interest rate is tops. For just three months, a CD is the only way to go. |
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