My mother is receiving money because of my father's death. What should she invest in?

My father passed away last week. I want to help my mother invest her money so it will support her for a while. She is receiving about 800k total. 500-600k life insurance, 150 - 250 in stocks. She really doesn't like the stock market and the u.s. dollars seems to be sliding. We had someone tell us to buy gold but I'm not sure. Any suggestions. She is 55 and has a home worth about 800k and owes 350k with a 4.5 interest only mortgage. We want something safe that will give her some interest to live on. thanks

she doesn't work

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Gold is hot right now, but the time to buy was 10 years ago when it was cheap, it's already gone up so much in that time. Plus, she sounds like she wants something she doesn't have to watch all the time. Something she doesn't have to think about?

Vanguard has target date retirement accounts that are comprised of stocks and bonds and move toward less stocks and more bonds as you get closer to retirement. That would be a safe bet and she wouldn't have to think about it. So she would want the target date retirement 2015 or 2020. It also has low fees.

Oh and tell her to get rid of the interest-only mortgage (she is losing money in all the interest she's paying) and switch to a fixed rate mortgage.

When people give you tips, keep in mind that if she buys something hot right now, she has to keep following it to make sure she sells at the right time, and it sounds like she's not interested in doing something like that. The Vanguard fund might be a better option.

Sorry to hear about your father.

Don't buy gold. Do not buy gold. It is at a high. It offers no interest or income to live on.
No.1 choice would be to look at using some of the money as a deposit for an investment property. Or you can just use equity from you home. This is will be a good income and capital gain down the track.
I would say park it in cash but if you are in america the rates are on its way down. I would park most of the money on your house. Why you wait. This will save you a lot of repayments. probably over 1200 a month. Saving interest is just as good as making interest if not better. As it does not count as an income.
I would at least definately start to a principle and interest loan and start paying the loan down. She is in a very good position to invest with 550,000 cash 450,000 equity in her home, and 200,000 in stocks. Never spend all her money at once. Don't pick a stock and buy $500,000 of them.
It is a very good time to buy stocks. So i would start a investing plan of buying $1000 a month or $5000 a quarter into stocks. Only buy solid companies. Get advice from an expert which to buy. You want to look at the big banks, coke, ge etc. Spend a few thousand dollars on financial advice. You must go to at least three. You Want a tax expert. And with your finacial advisor you tell them exactly what you want and they will make a plan for you. DO NOT sign up then and there. DO NOT agree to anything with out going home first. And talking about it. Make sure they tell you if they make money of any thing they reconmend?

She should talk with an Investment Manager or Portfolio Manager.These guys should help her diversify her money in a porfolio (don't put your eggs in one basket).

I would advise you to talk to a Market Strategist at Lind Waldock;

Adam Klopfenstein
800-266-0551

They specialise in Futures and Options which may sound too risky for her but these Market strategists know what they are doing (they know all about the stockmarket,gold,bonds and currencies).
You can find a list of Market Strategists at;

http://www.lind-waldock.com/services/sv_...

They all have a 800 phone number or an email address.Your mother should talk with them.

The simplest advice is to talk to a financial adviser. She is 55 and a conservative investor, she should stay away from gold, stock, options, future, and such risky stuffs. She needs a portfolios with high-quality U.S. and international bond (hedge the weak dollar). Depending whether she has other income and her monthly spending, that determine the percentage of bond and other investments. Good luck to her.

What you are doing is good. Finding information. You need to understand the instrument also. There is no use, we told you to invest in something, but you didn't understand it. First find out your risk tolerance. I suggest using your risk tolerance, since I guess you will be controling the investment. After knowing your risk profile, you can choose where to invest. If you want something safe, try fixed income mutual fund.