Hi OzB fam,
If you hypothetically had over 250k sitting in your account in your 20's what way(s) do you believe you could best invest these funds? Interested to know whether it be short-term or long-term growth. Preferably lower risk options. Examples such as:
• Shares
• Term Deposit
• Property
• Bitcoin
bitcoin low risk?
Definitely not. Just seeing what people think would be the best types of investments in 2020.
Term deposit and shares would be my preference because of liquidity and ease of entry.
Term deposit does not require much knowledge but the interest rate is probably low atm.
Shares would require some knowledge and planning but more worth it in terms of return. You can have both short and long term strategy and don't have to invest the whole amount.
G'luck
If you're going for TD's you might as well consider buying government bonds or at the very least "High" Interest Savings Account to park your money there at least to protect against inflationary effects..
neither HISA nor government bonds protect against inflation in a way that is different to a term deposit. You go for the best interest rate that's reasonably convenient.
neither HISA nor government bonds protect against inflation in a way that is different to a term deposit. You go for the best interest rate that's reasonably convenient.
Well considering TD's are at 1.1% and HISAs are more at 2%, with the benefit of liquidity and higher interest rate.. I'd say HISA's are better
Government bonds you can also liquidate immediately..
@cwongtech: except term deposits exist at 1.9%
I'm by no means a fan of a term deposit but term deposits have been competitive with HISA over the last couple years because interest rates have been falling and they'll usually not be too far behind HISA unless there are unexpected interest rate rises.
A TD at 1.5% you get less than $4k and your money is locked away for 12 months. If the bank is in trouble the first person they will raid is your TD - its called bail in. Look what happen to Greece. The bank took a nice 20% from all its depositors account and you couldn't even pull money out of the savings account as the banks locked down ATM allowing you to pull only 60Euro per day. Ever heard the term cash is trash! This is the issue with low interest rates and negative interest rates. The markets will continue to run higher and higher with the RBA/FED etc money printing and zero interest rates.
Preferably lower risk options.
Take risks when you're young so you don't have to take risks when you're old.
I tend to agree with this. Low risk generally = low returns.
ETF's
Leveraged bitcoin options
Various Vanguard ETFs and shares
hypothetically you have no idea what you are talking about regarding risk. The only item that is remotely low risk is term deposit.
Shares: could go down
Property: after you paid stamp duty and transaction charges will take you a year if not two to make that back
Bitcoin: well you can fill in the blanks with that one
If you have $250k sitting around in your twenties, you should be giving us advice..
ASX ticker codes:
CSL or ALK
Do your homework sunshine.
Bitcoins hahaha!!
I joined OZBargain to gauge people psychology and buying patterns. I notice people would use buy now pay later forms of payment instead of traditional credit card. Jumped into AfterPay a few years ago at low $3.00ish now its $39.00 about a 1200% return. I also jumped into JB Hifi and got a nice 95% return in 1 year.
VDHG
NDQ
Don't think Bitcoin is low risk. Shares isn't too but you have resources with https://www.ultimatestockalerts.com/ just one of many. Both require research and keeping abreast of current events. You will have to read and plan as someone said above, and be consistent with it.
Black