You got a few ways you can do that. My favorite is with Master Limited Partnerships, those are pipelines that transfer oil and other things from place to place. They tend to have large dividend yields. I think my favorite in that area is Linn Energy right now. You can also go with the big oil companies like ExxonMobil. Finally, you can invest in something like an oil futures or sector ETF and that way you just sort of get everything in there at the same time. The ETF probably has the lowest risk of this bunch.
At one point I was also a fan of canadian oil trusts but there are some tax law changes coming up that make those sort of questionable right now.
If you are considering investing in an MLP at least be aware of differences in dividend tax implications before you compare them against other dividend paying products. For a good general article, see hereā¦ http://www.investopedia.com/articles/basics/07/ml_partnerships.asp
CD, whatās your opinion on getting a CPA/CFA? Iām probably way too early to be thinking about something like that, but itās always good to get opinions beforehand.
I know nothing about investing and right now I have a shit ton of cash. I plan on using it in a couple of years hopefully to buy a house and car. Would it even be worth it to invest it for 2 years before I spend it? I read your risk paragraph but it seems like 2 years is a pretty short time frame when weāre talking about investments over a lifetime.
I get one for free right now, my mother in-lawās a CPA. I suppose if you reach a point where doing your own taxes is a burden then itās a good idea. For Godās sake, donāt ever EVER get behind on your taxes. The IRS is not nearly as fun to deal with in person as through the mail.
If you have that money earmarked for a purpose, then put as much as you can into inflation protected bonds. Do not put risk behind money that you know you are going to need on a set date. Series I savings bonds and TIPS are both inflation adjusted. There may be purchase limits, check it out at www.treasurydirect.gov. With regards to stocks, nearly anything could happen in that timeframe and if youāre not able to bring cash to buy more shares, youāre going to be in a painful spot.
Now, if you have the ability to make a regular monthly deposit into it, I see nothing wrong with putting a substantial amount, maybe say half of what you have now into the market, but use an index fund like I mentioned. Vanguard is a great choice for that. Even on a decline the ability to average out your cost along the way should keep you stable. Keep the other half in the above mentioned bonds or a bond fund.
Was wondering if anyone had any advice on banks for savings accounts. Iām looking for a āhomeā for my two new savings accounts, and for hte lyfe of me Bank of America isnāt getting any more money from.
I just started a savings account where I get 0.45% interest a month if I put 200 dollars or more in it each month.
I want to make as much on interest as possible. Would it be smart to start up an online savings account as well and at the end of the month move most of the money from the bank savings account to the online one for the higher interest?
vslash - check out orange savings accounts. theyāre online. i use them, pay better than .45% iām pretty sure.
iām leery of saving money though, iām afraid theyāre going to inflate the dollar to deal with the exorbitant debt in which case our savings are worthless
Iām just trying to do something with my money other than waste it. Should I keep the saving account connected to my bank and open the orange one as well? Then move it into the orange account at the end of the month?
outside of getting shot (which can be avoided if you follow biggieās 10 crack commandments) itās really low risk
if you get caught just plea bargain out and snitch out your supplier
marijuana is probably more low risk since people donāt get addicted to it but less money to be made and you need good product vs crack where people will buy anything