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What are some of the Best, Low Risk Investments for 5 to 10 Years out on 100K initial investment ? |
What are some of the Best, Low Risk Investments for 5 to 10 Years out on 100K initial investment ? Go to the bank and buy I bonds. They are risk free, and will keep up with inflation as measured by the CPI. In the 5 to 10 year time frame inflation is a big risk. This means that you need to take on some volatility risk, because you have time to recover from a loss of principal. Mutual funds are best options, Systematic Investment Plans are also good which can give Unit linked growth options. It depends on what is your "low risk" and your expected return. The lowest risk is the CD by rolling it over every a year; the next one is the Government bond; mutual funds have the system risk, i.e. the general market risk too; I lost 50% my mutual fund investment during the dot com bubble. |
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