Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

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mod122
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Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by mod122 »

I have been gearing myself to make 2016 the best year of my life. I have no debt, a job i love and am financially sound. I have about$15,000.00 set aside and I want it to grow in 2016. I know things like stocks, bonds, etc are safe, but I am a workaholic. I love seeing the fruits of my labor and have always been one to use both my street and school smarts together. Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it? Just in a rut and was looking for some answers to broaden my horizon...
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FiveK
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by FiveK »

mod122 wrote:Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it?
Yes, but none of them are legal.
jpelder
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by jpelder »

Why not the Three Fund Portfolio?
https://www.bogleheads.org/wiki/Three-fund_portfolio

Alternately, why not Zoidberg?

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HomerJ
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by HomerJ »

You want to make $500 a week, or $26,000 a year off a $15,000 investment?

Start a business with it or become a professional gambler I guess. Pretty likely to lose the whole $15,000 though, and both of those options are full-time jobs.

This site really isn't about get-rich-quick schemes.

Edit: Rereading your original post, you say you're a workaholic, so maybe you were indeed asking advice about a second job, and not a get-rich-scheme.
Last edited by HomerJ on Wed Jan 27, 2016 9:15 pm, edited 1 time in total.
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Crimsontide
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Crimsontide »

FiveK wrote:
mod122 wrote:Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it?
Yes, but none of them are legal.
Doh, you beat me to it :oops:
mattshwink
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by mattshwink »

Follow my asset allocation strategy. If I was underweight in my portfolio (currently in International I am). I would rebalance using the 15k. In general my AA is 98/2 but lets just say all stock to keep this simple. 60% stock, 30% international, 10% REIT. So with 15k I would:

1. Fully fund my 2015 Roth IRA ($5,500)
2. Fully fund my 2016 Roth IRA ($5,500)
3. Ensure that my 401k (or equivalent) was fully funded (I would leave the excess in my regular checking account and bump up my contribution percentage).
4. If all three of the above were done (or were already done), I would invest the remainder according to my AA. I would do this with the other $500 chunks as well (1-3, then taxable)
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Phineas J. Whoopee
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Phineas J. Whoopee »

mod122 wrote:... Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it? Just in a rut and was looking for some answers to broaden my horizon...
$500 x 52 weeks = $26,000, plus the initial investment, $15,000, is $41,000, 270% of the starting value, and I'm ignoring the compounding you asked for.

There ain't nothin' that can regularly throw off $any-number-per-week and get you that much in a year in US dollars. Not even nothin' illegal, I'd bet, if we include the weekly predictability you want.

If somebody did know a way to reliably achieve such returns they'd borrow to the hilt and take all the money for themselves. They wouldn't tell you, or me, or even waste their time reading bogleheads.org.

It can't be done.

If you have some other question you'd like to ask, please go ahead and we'll try to answer.

Oh, and one more thing: welcome to the forum!

PJW
Jack FFR1846
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Jack FFR1846 »

If you're willing to do diligent accounting and keep on top of things, you could do manufactured spending buying eBay gift cards and circling them through stores to get back to eBay gift cards. If you figured out the details, and started with $15k, then I could see you getting $500 a week.
Bogle: Smart Beta is stupid
EHEngineer
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by EHEngineer »

mod122 wrote:I have been gearing myself to make 2016 the best year of my life. I have no debt, a job i love and am financially sound. I have about$15,000.00 set aside and I want it to grow in 2016. I know things like stocks, bonds, etc are safe, but I am a workaholic. I love seeing the fruits of my labor and have always been one to use both my street and school smarts together. Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it? Just in a rut and was looking for some answers to broaden my horizon...
Hi mod122,

Welcome to Bogleheads.

You have gotten some snarky replies above, but please stick around, you'll get some good feedback too.

The things that bogleheads invest in are not expected to produce the size of returns you mentioned. The CDs, ETFs and mutual funds we recommend are expected to produce 2% to 10% per year. This level of expected returns is based on the returns provided by the stock market, on average, for all of its recorded history. 2%-10% would be roughly $5-$30 per week, nowhere near your goal, and probably not even as consistently as you would like. We could certainly help you build an investment portfolio that has a decent shot at returning in that range. But If you are looking for really high return investments, then your money is probably better spent starting a business or "investing" in your own education to improve your earning power.

Good luck.
Or, you can ... decline to let me, a stranger on the Internet, egg you on to an exercise in time-wasting, and you could say "I'm probably OK and I don't care about it that much." -Nisiprius
Topic Author
mod122
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by mod122 »

Haha I guess Baptism by Fire is a good welcoming to the forum. Thanks for the feedback everyone!
quantAndHold
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by quantAndHold »

Are you any good at poker?

Poker and futures trading are the only two things I can think of. Poker is less risky. I'd start there.
Yes, I’m really that pedantic.
EHEngineer
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by EHEngineer »

mod122 wrote:Haha I guess Baptism by Fire is a good welcoming to the forum. Thanks for the feedback everyone!
Yeah, you're getting a rough crowd tonight. They're taking pot shots because your goal is too high, but I appreciate that you put enough thought into your post to specify a goal. If you hang around you'll see dozens of first time posters who only know enough to ask "what should I do in this market?" If you think about it, that question has no actual information to work with (no dollar amounts, no timeline, no goal). Anyway, Cheers, and have a good night. I hope you reply and let us know what you decide to do, or what need help with.
Or, you can ... decline to let me, a stranger on the Internet, egg you on to an exercise in time-wasting, and you could say "I'm probably OK and I don't care about it that much." -Nisiprius
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Whiggish Boffin
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Whiggish Boffin »

Four-wheeler, snowplow blade, dig out the DC/Maryland side streets that haven't seen a city snowplow yet? You've missed your chance for SnowZilla, but the Farmers' Almanack predicts a couple of February snowstorms...
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cheese_breath
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by cheese_breath »

mod122 wrote: Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it? Just in a rut and was looking for some answers to broaden my horizon...
If I knew where I could make over 3.3% per week I'd be reserving a seat on the first civilian flight into space and paying for it with my spare change. And please don't fall for any of these online trading schools that supposedly teach you how to get rich trading the market. You're more likely to lose $500 or more per week.
The surest way to know the future is when it becomes the past.
lee1026
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by lee1026 »

If somebody did know a way to reliably achieve such returns they'd borrow to the hilt and take all the money for themselves. They wouldn't tell you, or me, or even waste their time reading bogleheads.org.
I know how to achieve 10% returns every month reliably - the only downside is that when the scheme fails, you lose everything. But your chances of winning any particular month is actually pretty decent.
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randomizer
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by randomizer »

mod122 wrote:I know things like stocks, bonds, etc are safe
What do you mean by "safe" here? Both stocks and bonds are subject to various types of risk.
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VAslim16
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by VAslim16 »

I'd put half in VTI and half in VXUS. Done.
Longdog
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Longdog »

Could you clarify whether you are looking for advice on starting a business, or advice on investing?
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Ninegrams
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Ninegrams »

"Any ideas on where I could use the $15 k and make lets say $500 a week and keep building on it? Just in a rut and was looking for some answers to broaden my horizon...

Right now I'd kiss the ground for a $500 return per 15K for the year.
tampaite
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by tampaite »

Deleting my messages on this forum
Last edited by tampaite on Mon Jun 03, 2019 9:54 am, edited 1 time in total.
Dulocracy
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by Dulocracy »

Do you work the week? There are lots of companies that would hire you for weekend only labor. Shipping places like UPS and retail stores like Home Depot and Wal-Mart are really good at utilizing part time labor. That would enable you to get some extra money. Warehouses are often good sources of work. Alternatively, lawn care companies often have an increase in need when the weather warms up. I know a school teacher that moonlights as a lawn care guy on weekends. You could apply with a company or start your own. Stay away from get rich schemes. You hear about the one person who makes a living doing YouTube videos or selling things on E-bay. They are few and far between; you will find many more people wasting their lives trying to be that one in a million. For regular extra money, get a regular, boring side job. Alternatively, freelance in something that you can do well. A great source of graphic design work is graphic design companies. A great source of website building is website companies. Project-based work in an area for which you have expertise is another way of getting extra cash. Don't forget to set aside money to pay taxes if you are freelancing.
I'm not a financial professional. Post is info only & not legal advice. No attorney-client relationship exists with reader. Scrutinize my ideas as if you spoke with a guy at a bar. I may be wrong.
john94549
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Re: Starting off 2016: If you had $15,000.00 to invest, what would you do with it?

Post by john94549 »

It is quite possible to make out-sized returns with major risk, but I would suspect most Bogleheads would find such a strategy ill-advised*. Even a yield of 10%/annum (I'd take that in a heart-beat, mind you), on $15,000 would be far short of your desired return. I think the key is to be patient. When you start investing at any early age, and maximize your savings each year (tax-deferred, of course), you'll be amazed (nay, shocked) at the effect of compounding once you near retirement. Hey, if you want to go for it (and you understand risk), plunk it all in VTI. It's probably the most cost-effective ETF I've ever run across. Should you be more comfortable with a mutual fund, consider VTSAX. Either is worthy.

You'll experience up years and down years**, but the key is to be patient. Spend less than you earn, and invest the "delta".

*Leverage can be hazardous to your wealth

**Boy, howdy, have I experienced both. The key, as Mr. Bogle has always said, is to "stay the course". As a Navy veteran, I might understand the lingo a bit more than most. Staying the course is right up there with "crossing the T", but you knew that. A small fleet of destroyers could always defeat a larger fleet of battleships, by "crossing the T" and "staying the course". By definition, they had more guns to bear on much larger targets.

But Jack has always emphasized that the best thing to do, is to do nothing. Just invest, chill out (as our grand-children would say), and move on.
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