$30,000 for investing

[PandaBear]

How much you invest in which type of investments depends on how much risk you can take.

Is this 30k all you have that you cannot lose? Just some change money for betting?

If you have no other immediate need and can afford to lose a lot, take some high risk of investment with great reward.

If you absolutely need it in a short time and cannot risk any of it, stash it in bond or something low risk.

 

[Pablo]

In Japan?

Maybe 2-3 dinners.

Without knowing more, hard to give much advice.

Time frame? Really need the money? Etc.

I can tell you to do some stuff and people will call it gambling. Or the other way around.

One word: Women.

 

[Gary Allan]

Quote:
One word: Women.


Pablo, are you competing with the Latvian cartel?

 

[fdcg27]

Let me throw my two cents in.
First of all, unless you really put some time into it, the safest route is some kind of pooled investment vehicle.
Usually, lower expenses equal better returns.
Is this 30K your rainy day fund, or can you afford to lock it up for a few years?
My personal strategy currently is some mix of US index funds and Asian funds.
My thinking is that a US index fund will perform well over the next two-three years, as the US economy recovers (and it will), while longer-term, the real growth is in China, India and smaller Asian nations, since they are showing significant year on year growth in GDP, and they are decades away from hitting the natural limits to growth of a developed economy.
China and India need everything, from housing to basic infrastucture, and all of these real needs represent future opportunities for growth.
It isn't just a matter of consumer electronics, software and call centers.
As these economies become better able to afford domestic spending, both by individuals and by the state, growth in GDP can only continue, and economic growth brings returns to investors.

 

[Amkeer]

As others have said diversify the money. The stock market is a good vehicle, however, you need to remember not to become married to stocks. You have to unload them when gains are realized.

We recommend certain real estate investments, as well as tech stocks. An example would be AMD, maybe.

A tip: whatever the masses are running to you want to avoid. We see to much excitement in GOLD, that tells us that it is probably cooked. People are running from real estate. This is where you want to be.

 

[LS2JSTS]

Originally Posted By: Amkeer
.......People are running from real estate. This is where you want to be.



Shhhhhhhhhh! Don't tell everyone!!!!!

The upside potential is tremendous. These are the times when those with the means can become very wealthy. Or those that are already wealthy can become filthy rich....lol.

It's sad, but also always been true. Where there is misery and people losing a ton of cash, potential profits abound.

 

[Shaman]

I don't know of any investments in Japan. I would prefer to keep the money here. We have some money to live on in Japan, but not as much as this. It's not a rainy day fund per say, but I would like to keep it somewhat liquid, at least for the next year. My current job will have to end next year, and the wife and I will decide to come back to the states, or stay in Japan. Keeping politics out of it, I don't see much happening here, especially with the current slide towards the big "C".

I have student loans, but the percentage on them is pretty low. I guess now that there is nothing really to invest in with much of a gain, I should probably pay them off.

 

[fdcg27]

Hmm...
I'm going to have to look at some real estate vehicles.
I've never been in anything like that.
I agree that there is great upside potetial when things are bad.
Commercial, rental and resort properties have been hit hard, so the potetial for excess gains is certainly there.
You have given me something to research.

 

[JackFish]

If you weren't so far away I'd consider asking you for your hard-earned cash. Need some "bridge" financing.

I just received approval for a 10-lot subdivision of some property I own up here in Canada.

 

[tonycarguy]

Here's a tip from someone who has BTDT.

Real estate is not for everyone. With residential and commercial-retail real estate, you must be a people person and enjoy working/communicating with others. Most of the time you contact tenants, it will be to resolve problems for them or ask them to pay up or tell them they're violating the lease or evict them. Most communications, therefore, have potential to be unpleasant and stressful. You will discover the darker side of human nature, too, when you see what tenants are capable of.

Only buy property close to you. Even if you hire a property management company, most of them are bad and cannot be trusted so you still have to check on your property yourself. They're more trustworthy if they know you're local to the property.

If I had to do it all over again I would just buy REITs or mutual funds that correlated to housing. Less profit but way less stress/headaches.

 

[LS2JSTS]

Buying and holding RE and rental properties IS a major headache....no doubt. But the money to be made today, in this market, doesn't involve buying and holding.

The banks are leaving vast amounts of cash on the table in their haste to exit certain properties. That cash is there for the taking if one is willing to take the time and the risk that the banks are walking on.

As for commercial properties....STAY AWAY. IMO of course, but the commercial markets have a day of reckoning in their future much like the housing markets have just seen. Some are speculating that the housing bubble burst will be nothing in comparison to the crash the commercial markets will see. Of course that presumes a deeper recession....hopefully that will be avoided.

 

[crinkles]

my pension/401k/super is invested as follows (long term)

50% bonds and fixed interest
25% australian shares
20% international shares (excl australia)
5% property investments (managed funds)

My savings is as follows

about 50% in fixed interest
about 50% in shares.


its all small amounts though so ...

 

[fdcg27]

I don't actually want to own and manage property, or build it.
There are, of course, other vehicles with which one can participate in the expected future returns on real property.
That is what I would look at, and that is what I intend to research.
Actually owning rentals, or getting into building on spec might yield handsome returns, especially after tax, but also tend to yield significant risks.
Anything you can't buy and sell on an exchange is for someone willing to undertake what amounts to a second job, IMHO.

 

[LS2JSTS]

There are REIT's that have recently been set up that target specifically homes that are foreclosed. They look for homes that are sold within a sub that might be turned around for a quick profit. They are simply doing more, on the ground work, than the banks that are willing to do.