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starter with "income investment", better yield than CD?

Posted: Wed Mar 06, 2019 5:41 pm
by wilbert-vb
59 years old husband with retirement based income.

Zero experience with investing and now looking for low risk options.

My goal is called "income investment", perhaps the return is enough to pay the mortgage or the rising medical expenses.

Recently I sold my property overseas and ~$160.000 is sitting in a savings account.

From light researching I learned that a 5 year CD yields a return of 3%.

From talking to acquaintances I understand that 4% or 5% might be a reasonable result?

How do I start, where do I go for information?
What would be a reasonable approach?

Re: starter with "income investment", better yield than CD?

Posted: Wed Mar 06, 2019 7:01 pm
by ExitStageLeft
Welcome to the forum! There is a link at the top of the page to the Boglehead wiki. A good place to start is https://www.bogleheads.org/wiki/Getting_started

For someone completely new to investing, the videos on that page are a good introduction. If you want to learn more there is the reading list: https://www.bogleheads.org/wiki/Books:_ ... t-up_Books

In the short term you should consider putting those funds in a high yield savings account while you develop an investing plan. Assuming you're in the US, you can have that in an account that is FDIC insured earning something close to that CD rate.

https://www.bankrate.com/banking/savings/rates/

Re: starter with "income investment", better yield than CD?

Posted: Thu Mar 07, 2019 7:20 am
by aristotelian
Sounds like you want an annuity.

Re: starter with "income investment", better yield than CD?

Posted: Thu Mar 14, 2019 5:57 pm
by wilbert-vb
aristotelian wrote:
Thu Mar 07, 2019 7:20 am
Sounds like you want an annuity.
You might be right with your suggestion.
Thank you very much!

Re: starter with "income investment", better yield than CD?

Posted: Thu Mar 14, 2019 6:07 pm
by Wiggums