Investing Money

[Gandalf]

I just thought I would start a thread looking at the available options for trying to save or else invest money. I have to admit that I am rather clueless in these areas. I was messing about with this retirement planner thing earlier and was pretty impressed by the percentages they have on returns from investments and savings. You can have a look at that planner by just clicking on the link below.

Retirement Planner - MSN Money

A return of about 9% seems very good to me. I have only ever really used savings accounts to store my money and the returns are pretty puny. I got just over 4.5% last year and this year just 4%. So my question is, what do you have to do with your money to be getting higher returns. I don't really know too much about all that stuff really. So, just thought I would ask what some of you are doing to get higher returns and hopefully spark some interesting discussion.

[Andre]

The more % you get the more risk there is of some tycoon spending it all for you declaring bankruptcy and you left with ziltch. goverment backed things are the way. Some bank shares maybe. Gold is stable. look for the guarentees you get; the less of them, gets more % but you can lose the lot.

You cant really lose investing in your own piece of land like where you can see a city growing and heading out towards it.

So long as you can afford the repayments and so long as you dont sell if the land price drops for a while, you will be doing great in long run.

Out here we have a goverment backed first home owners scheme where they put in alot of cash towards it for you, It was like over 15 grand for free, now I think its even more,they did this to stimulate the econemy and get new building underway again. Australia is just a giant work site really,lots of growth still.

If you play the markets ,know about the product and company you are buying into study up and think it out in real terms, if you dont and you trust others with your hard earned cash think of it like you are puting it on a horse that is going on a three year race.

[amat]

Pokerstars.com.

[Gandalf]

The more % you get the more risk there is of some tycoon spending it all for you declaring bankruptcy and you left with ziltch. goverment backed things are the way. Some bank shares maybe. Gold is stable. look for the guarentees you get; the less of them, gets more % but you can lose the lot.

You cant really lose investing in your own piece of land like where you can see a city growing and heading out towards it.

So long as you can afford the repayments and so long as you dont sell if the land price drops for a while, you will be doing great in long run.

Out here we have a goverment backed first home owners scheme where they put in alot of cash towards it for you, It was like over 15 grand for free, now I think its even more,they did this to stimulate the econemy and get new building underway again. Australia is just a giant work site really,lots of growth still.

If you play the markets ,know about the product and company you are buying into study up and think it out in real terms, if you dont and you trust others with your hard earned cash think of it like you are puting it on a horse that is going on a three year race.

I wouldn't mind owning some property but I wouldn't want any here because it is all high rise apartments and they typically get redeveloped every twenty years or so. They are very poorly built. It's not a sound investment at all. You own a space in the sky and eventually the government will offer you meagre compensation to get out and if you dig your heels in will then get the mafia to turf you out. The property market is grossly inflated here as well with property prices being way above what they are actually worth. They all look like the housing projects from poor areas of the US. I don't know what the attraction is, but that's what they are all into out here. Instead we pay a large deposit and live rent free for the year, and at the end of the year you get back your deposit. A lot of people do that these days. It does make sense financially, but is quite different from anything I ever had in the UK.

Savings accounts are all well and good but with inflation running rampant here at well over 10% my return of 4% isn't even keeping up with the costs of living. Need to do better somehow. Stocks and funds look interesting, but like you say it can all be a bit of a russian roulette. Quite scary, and I don't want to be one of them that jumps out of the window after taking a heavy blow.

I would quite like to own property in the UK, but seeing as I'm seldom there it would be really difficult to manage things. We do own some land in the Korean countryside as a result of my father in laws untimely death, but unfortunately it's value is very low and shows no sign of rising. Nobody lives in the countryside these days and nobody wants to buy land there. I wouldn't mind keeping it and building a house there one day so I can retire and grow potatoes.

[Dizaster]

You should get on to Amazon and order a couple of Robert Kiyosaki's books.. I love them and cover all the basics of making money and investing, but it just gives you a real core understanding so you feel confident that you are aimed in the right direction with your money... they are interesting to read, not to technical etc...

In fact we savvi people can probably find a place to download them.. i might have a look for a link... But the first one is "Rich Dad Poor Dad" which is all the basics, "Cash Flow Quadrant" is the second which describes how to get yourself out of being JUST an employee, and moving towards having other forms of income and assets that make you money, then "Guide to Investing" is the third book in line and that is probably the one that will be good for you with where you are at.... But those trio of books I think should be standard reading for every human being who has a job and wants to one day have a bit of financial freedom...

Good luck whichever way you go..

[Dizaster]

Here ya go buddy...

The other suggestion I have is go make an account at the forum Self-Made VIP - Self-Improvement, Success, Financial Freedom It is an upload forum where everyone shares (no pun intended) stuff regarding finance and making money, but just about anything about being successful...

Here are the Robert Kiyosaki books I was talking about.. Nothing like having a hard copy in your hand, but if you get a chance to read these books in any form you'll be really happy and really clear on what you want to do next..

http://rapidshare.com/files/856897/kiyoski.zip 
Password: www.selfmadevip.com or selfmadevip.com

THE CASHFLOW QUADRANT will reveal why some people work less, earn more, pay less in taxes, and feel more financially secure than others. It is simply a matter of knowing which quadrant to work from and when. Have you ever wondered: * What the difference is between an employee and a business owner * Why some investors make money with little risk while most other investors just break even * Why in the Industrial Age most parents wanted their children to become medical doctors, accountants or attorneys...and why in the Information Age those professions are under financial attack Have you noticed that many of the brightest graduates from our universities want to work for college dropouts...dropouts such as Bill Gates of Microsoft, Richard Branson of Virgin Industries, Michael Dell of Dell Computers, Ted Turner of CNN Dropouts who today are the mega-rich of society. This book will answer some of these questions and also assist in guiding you in finding your own path to financial freedom in a world of ever increasing financial change.

http://rapidshare.com/files/134346848/Rich_Dad-s_Guide_To_Financial_Freedom_Cashflow_Quadrant.pdf 
Password: www.selfmadevip.com or selfmadevip.com

http://rapidshare.com/files/134334457/Rich_Dads_Guide_to_Investing.pdf 
Password: www.selfmadevip.com or selfmadevip.com

[Master]

I always play it safe with guarantee returns on bonds which are safer. I have been burned leaving it up to the market. The fat cats screw you over no matter what they say otherwise.

[Gandalf]

Nice one, Diz! I will download some of that and maybe buy later on.

I really haven't got a clue about finance and managing money and it needs to change.

[Youngblood]

Pokerstars.com.

I`d own your soul. 4 realz. Durrrrifically.

[Gandalf]

I always play it safe with guarantee returns on bonds which are safer. I have been burned leaving it up to the market. The fat cats screw you over no matter what they say otherwise.

Too true. It's okay for those with millions to throw money around like confetti. But for regular types it's a serious business as that money is all one has. Whatever I do, I will always try to be careful as far as possible. Again, I know nothing about bonds either so will have to do some research.

[HattonTheHammer]

no money to invest

whatever comes in usually goes out within the year on clothes, holidays, booze, women etc

i had a savings account for 6 years and managed to save up 5k, spunked it all away on a fiat that lasted me 6months before it broke down

message from this story - dont invest in fiats

[Nameless]

The first commitment is:

If somebody offers you 8% of interest when the rest of the market offers 4-5%, BE reluctant and don't trust too easily.

[El Kabong]

I just had to figure out where to put my yearly savings in my 401(k), I'm going with more overseas investing this year (along with a little bit in Vanguard S&P 500) as I am 100% certain inflation will happen soon and therefore a World Bond Fund looked really nice to me.

[killersheep]

Here ya go buddy...

The other suggestion I have is go make an account at the forum Self-Made VIP - Self-Improvement, Success, Financial Freedom It is an upload forum where everyone shares (no pun intended) stuff regarding finance and making money, but just about anything about being successful...

Here are the Robert Kiyosaki books I was talking about.. Nothing like having a hard copy in your hand, but if you get a chance to read these books in any form you'll be really happy and really clear on what you want to do next..

http://rapidshare.com/files/856897/kiyoski.zip 
Password: www.selfmadevip.com or selfmadevip.com

THE CASHFLOW QUADRANT will reveal why some people work less, earn more, pay less in taxes, and feel more financially secure than others. It is simply a matter of knowing which quadrant to work from and when. Have you ever wondered: * What the difference is between an employee and a business owner * Why some investors make money with little risk while most other investors just break even * Why in the Industrial Age most parents wanted their children to become medical doctors, accountants or attorneys...and why in the Information Age those professions are under financial attack Have you noticed that many of the brightest graduates from our universities want to work for college dropouts...dropouts such as Bill Gates of Microsoft, Richard Branson of Virgin Industries, Michael Dell of Dell Computers, Ted Turner of CNN Dropouts who today are the mega-rich of society. This book will answer some of these questions and also assist in guiding you in finding your own path to financial freedom in a world of ever increasing financial change.

http://rapidshare.com/files/134346848/Rich_Dad-s_Guide_To_Financial_Freedom_Cashflow_Quadrant.pdf 
Password: www.selfmadevip.com or selfmadevip.com

http://rapidshare.com/files/134334457/Rich_Dads_Guide_to_Investing.pdf 
Password: www.selfmadevip.com or selfmadevip.com

I'm not a fan of Kiyosaki, what he says makes sense, but can be summed up very quickly.

Get rid of your debt and spend your money on things that pay you back.

Right now I am expanding my nest egg again because I plan on taking on a few more bills next year. My stock portfolio currently consists of mostly bond etfs (with dividend yields ranging for 4% to 11%) and the remainder temporarily in broad index etfs. If I was to be actively looking to do short term trades right now I would be playing a presumed decline in the value of the dollar by looking at commodities, specifically precious metals, more specifically silver.

If someone is looking to read a book on how to really make money in the market I recommend a few. The first that helps you understand the mindset of active traders in the market is:

Extraordinary Popular Dillusions and the Madness of Crowds by Charles Mackay.

The second book I would recommend is

How to trade in Stocks by Jesse Livermore.

My current theory is to have about 70% is secure positions and 30% in high risk speculation. There is a lot to learn and know, what makes it the most confusing is that everyone has a slightly different strategy and uses different indicators.

[killersheep]

I just had to figure out where to put my yearly savings in my 401(k), I'm going with more overseas investing this year (along with a little bit in Vanguard S&P 500) as I am 100% certain inflation will happen soon and therefore a World Bond Fund looked really nice to me.

How often do you reallocate your 401k?