Investment Advice For A Twenty Something ($200k + to invest)

[AlexShelton]

Hello there guys,

I'm in need of some solid advice from successful T2W members.

Right now, I'm still pretty young (twenties) and have $200,000+ to invest in an ETF or Investment fund of some kind...

It must be said, I'm very new to all of this and still very much in the early stages of finding out what can deliver the best ROI.

Let's just say however that I can add another $300,000 to that amount (wherever it may be invested, so $500k total) and would be happy to keep my money in there for at least 5-10 years + .

Is it worth investing in something guys? or should I just try and use the money to further my business ventures, like i've always done?

Appreciate the input

Thank you

 

[AlexShelton]

PS. Currently looking into Vanguard (different funds) https://personal.vanguard.com/us/whatweoffer/personalservices/overview?Link=facet

 

[Hoggums]

Get yourself an IFA, pay him upfront - not via commission.

 

[timsk]

Hi Alex,
I agree with Hog's, above. That said, if I was in your shoes, I'd do one of two things - possibly both:
1. If you've made that much money from your business ventures and you're only in your twenties - you've clearly got the Midas touch. It would make sense to re-invest part or all of the money back into your business(es).
2. Buy property; it's relatively cheap now. True, it could get cheaper still but, as a medium to long term investment, it's safe as houses!
Tim.

 

[AlexShelton]

Thank you chaps.

Tim, I'm certainly going to re-invest a large chunk back into the business, the way I see it, I'd make 10x more using it on something than have it sitting in a Savings account.

Fella's can either of you recommend an IFA firm that specialises with this type of "Offshore" stuff

Thanks!

 

[anley]

2. Buy property; it's relatively cheap now. True, it could get cheaper still but, as a medium to long term investment, it's safe as houses!
Tim.

Everyone belives it is, and has been brainwashed to think it is (not saying you're wrong though Tim). But when everyone thinks it's hard to lose (in the long term), chances are that asset class has had its day.

Personally I think property is going to flatline over the next 20 years, afterall, if you look back at the records, it's flatlined for many decades before.......

My advice for your money is to stay in cash for the next 1-3 years. Yes, you'll be losing a touch to inflation but real cash (not electronic funny money) is becoming scarce and when the whole western world comes crushing down under its own debt (have you noticed that none of it is being repaid, it's all being shifted from here to there etc) those with access to ready cash might be able to cherry pick some great assets on the cheap.

 

[Hoggums]

I would agree - I do not see property as a good investment at the moment.

Property prices have fallen 2% in the last year. Add onto that an inflation rate of 5%, then they have lost 7% in real terms.

 

[timsk]

Yeah, Alex on second thoughts - scratch the property suggestion - it's a pants idea! On a serious note, although anley and Hog's both make very good points - it still wouldn't deter me if I was in your shoes. Actually, true to my word, it doesn't deter me as I'm actually doing it. I have a property rented out which yields more in rental income than I could get from a building society. Also, Devon (where I live) is a highly desirable place to live so, personally, I don't think the house will drop much more in value than it already has done over the past 3 years. Population figures are climbing, hardly any new homes are being built and few people are able to afford to buy etc. IMO, the anti-property argument - while valid - applies more to mainland europe than it does to the U.K. This is especially true of Spain, where prices could drop a lot further and stay down for a long time to come - unless some sort of miracle happens in Euroland. So, in spite of the advice of my esteemed colleagues, I say don't rule out property out! But remember: location is paramount and buy 2 or even 3 houses if you can for your £500k, rather than just one big one.

Good luck with whatever you decide to do.
Tim.

 

[MRBlogger]

I invested my money in property. But this is where I got smart: I bought a repossessed property on auction and am renting it out now. I will sell it in a few years', the value of property will always rise due to the world being overpopulated. The more people, the less accommodation

 

[gktk]

mm SA property is one of the worst to invest in IMHO, the biggest boom and bust cycle ever. Unless your buy price was so really really good.

 

[jthetrader]

Hello there guys,

I'm in need of some solid advice from successful T2W members.

Right now, I'm still pretty young (twenties) and have $200,000+ to invest in an ETF or Investment fund of some kind...

It must be said, I'm very new to all of this and still very much in the early stages of finding out what can deliver the best ROI.

Let's just say however that I can add another $300,000 to that amount (wherever it may be invested, so $500k total) and would be happy to keep my money in there for at least 5-10 years + .

Is it worth investing in something guys? or should I just try and use the money to further my business ventures, like i've always done?

Appreciate the input

Thank you

Could I have your telephone number please, I could offer you some great carbon credits

On a serious note, I am in no way qualified to answer this question but I imagine if you've made $500k already you should keep doing what you are doing (though I don't know how much of the $500k you started with).

Residential property is fine, it will increase in price, but if you are buying houses $500k won't get you lots so your wealth will become quite illiquid; if you bought into stocks you could more readily liquidate your holdings and your success at the end of the every month would be there in black or, as the case may be, in red, when you just own a property you can't really gauge how well you have done until you come to sell it.

 

[NVP]

Hello there guys,

I'm in need of some solid advice from successful T2W members.

Right now, I'm still pretty young (twenties) and have $200,000+ to invest in an ETF or Investment fund of some kind...

It must be said, I'm very new to all of this and still very much in the early stages of finding out what can deliver the best ROI.

Let's just say however that I can add another $300,000 to that amount (wherever it may be invested, so $500k total) and would be happy to keep my money in there for at least 5-10 years + .

Is it worth investing in something guys? or should I just try and use the money to further my business ventures, like i've always done?

Appreciate the input

Thank you

take 6 months to read up on investments / Portfolio strategies and the world markets and educate yourself.

Then invest (or not as you see fit)

you need to understand what the Sales brigade are going to pitch to you !

and remember putting the money somewhere safe meantime (like NSI) isnt necessarily a bad thing until you know what to do with it ...

Zero returns(exclusign inflation) is far better than losses and even better than losing all of it from a Bank collapse

N

 

[NVP]

I invested my money in property. But this is where I got smart: I bought a repossessed property on auction and am renting it out now. I will sell it in a few years', the value of property will always rise due to the world being overpopulated. The more people, the less accommodation

Yep - one born every minute

N

 

[NVP]

Hello there guys,

I'm in need of some solid advice from successful T2W members.


Is it worth investing in something guys? or should I just try and use the money to further my business ventures, like i've always done?Appreciate the input

Thank you

hey - ok I will bite

what do you do alex ?
N