Is making 8% "some what" safely realistic?

[FinanceDude]

Quote:

Originally Posted by freebird5825 Definitely a candidate for Vanguard index or target retirement funds. Set it and forget it. Their customer service is fabulous. I've dealt with several of the major fund families CS over the years (when I took the "Chinese menu" approach to investing before I knew better. ) Good luck!

Not a big fan of the Target Retirement Funds........a portfolio covering various market sectors and balanced for your personal risk is better..........

[ziggy29]

Quote:

Originally Posted by FinanceDude Not a big fan of the Target Retirement Funds........a portfolio covering various market sectors and balanced for your personal risk is better..........

True for people who are relatively savvy about investing and have the desire to "roll their own" asset allocation and rebalancing. For people who know little about investing and want to just "set and forget" their retirement savings, you could do a lot worse than a target fund.

[Milton]

Quote:

Originally Posted by Fantasm I have a problem where I get bored of things really quickly, and am always go go go, so because my money isn't making me any real sort of return right now, I am always looking for the next new thing to happen, which ends up being in the form of spending it.

Chasing the highest current returns is usually a prescription for "buy high, sell low".

Quote:

Originally Posted by Fantasm I am adverse to locking the money away for the long term as I want to see it getting immediate returns which always leads me back to the thoughts of investing in my own businesses ideas or angel investing as those are the fastest and largest methods of earning a return.

There are plenty of former professional athletes who earned huge salaries when they were young, but wound up with low (or zero) net worth (e.g., "Within five years of retirement, an estimated 60% of former NBA players are broke"). Some of them snorted the money up their noses or blew it on fancy cars, houses, etc.; but the majority wasted their savings on dubious, illiquid private investments.

[mews]

Quote:

Originally Posted by kyounge1956 Isn't fantasm's income a wee bit over the limit for Roth IRA eligibility?

'struth.

What about 2010?

mew

[FinanceDude]

Quote:

Originally Posted by ziggy29 True for people who are relatively savvy about investing and have the desire to "roll their own" asset allocation and rebalancing. For people who know little about investing and want to just "set and forget" their retirement savings, you could do a lot worse than a target fund.

So, when you retire, do you really want your equities being moved faster and faster into bonds, and let inflation eat it away to nothing on a systematic? I agree its better than doing nothing, but so far target Funds haven't done much to impress me, no matter whose doing the managing. A lot of them are backing off their "guaranteed withdrawal rates" previously put in writing.

[ziggy29]

Quote:

Originally Posted by FinanceDude So, when you retire, do you really want your equities being moved faster and faster into bonds, and let inflation eat it away to nothing on a systematic?

Probably not. Especially not in a stock downturn; I wouldn't want to sell equities there if I could avoid it.

But I am not its target market (no pun intended).

[FinanceDude]

Back to making 8% "safely and realistically"............uh...........maybe...... ...

Realistically? Yes.........

Safely? Depends on whatcha call "safe"........

[Fantasm]

Hi,
It doesn't look like Vanguard has office locations like Ameritrade or Schwab does, how would I go about meeting with someone who can advise me on which of their funds / programmes would be best for me?

[brewer12345]

You do have a telephone, right?

Seriously, most of the advice you get is dubious at best. Every time I call Schwab to trade a bond, it is extremely clear that I know more than the folks on the other side of the line about corporate credit. Spend a little time educating yourself and cut out the middle man. Or else put it in something like the STAR fund and forget it for 20 years.

[FinanceDude]

Quote:

Originally Posted by brewer12345 You do have a telephone, right?

Quote:

Seriously, most of the advice you get is dubious at best. Every time I call Schwab to trade a bond, it is extremely clear that I know more than the folks on the other side of the line about corporate credit.

Well,I would HOPE so, given your background..........

[harley]

Quote:

Originally Posted by kyounge1956 Isn't fantasm's income a wee bit over the limit for Roth IRA eligibility?

Quote:

Originally Posted by mews 'struth. What about 2010? mew

2010 won't matter for being able to invest in a Roth. That's just for conversions. But maxing out a non-deductible IRA and then converting to a Roth (2010 and after) wouldn't be a bad way to go. But the small amounts of money we're talking compared to the $25K/month is pretty insignificant.

[rsingh6675]

Put $300K-$500K in Variable annuity which pays about 6% guaranteed return.

[DblDoc]

Quote:

Originally Posted by rsingh6675 Put $300K-$500K in Variable annuity which pays about 6% guaranteed return.

I'm going to sit this one out as a spectator



DD

[REWahoo]

Quote:

Originally Posted by rsingh6675 Put $300K-$500K in Variable annuity which pays about 6% guaranteed return.

Before taking the above advice, I strongly recommend you thoroughly research the facts vs. the claims of variable annuity salespersons. Maybe read some of Scott Burns' columns on VA's.

If it sounds too good to be true...

[brewer12345]

Quote:

Originally Posted by rsingh6675 Put $300K-$500K in Variable annuity which pays about 6% guaranteed return.

How about not?

I will let interested parties search the forum on the subject of VAs, but I strongly suggest to OP that they not have anything to do with a VA.

[alwaysjammin]

wow, seriously, 30k a month! 360,000x5 years at 0%=1.8 million...just do a cd ladder and/or muni bonds and u're set! well, as long as u don't buy a couple of ferraris and a couple of islands...a la nicholas cage!