where to invest $10,000 _ crowd sourcing ideas

Ask your investment, budget, and other money related questions here
Post Reply
Douglas
Posts: 80
Joined: Fri Feb 10, 2017 11:36 am

where to invest $10,000 _ crowd sourcing ideas

Post by Douglas »

I have $10,000 that I want to invest and would like to crowd source ideas. Note that I am about 8 years from FI so I am early in the game. Thanks for the help!

My journal is here for background
viewtopic.php?f=9&t=9266&p=159265#p159265

Current asset allocation

30% 401K (mostly Vanguard ETF)
25% cash (emergency fund)
35% home equity
15% After tax stocks (mostly Vanguard ETF)

I am not interested in more ETF type investments but all others are fair game, including holding on to cash. I will start a Roth IRA this year so that is also excluded. No more can go in 401K. I lean conservative on my investment strategies. What would you all do if you were in my position?

Douglas
Posts: 80
Joined: Fri Feb 10, 2017 11:36 am

Re: where to invest $10,000 _ crowd sourcing ideas

Post by Douglas »

I finally opened up a brokerage account for a roth IRA. Probably will open a second account once the Roth IRA is maxed.

I transferred cash to it but now have investment paralysis (soon to be overcome). Want to make my first stock investment but overwhelmed with all the info. Trust this metric (e.g. PE) don't trust that (e.g. PE). Folks say you can't time the market but WTF are you supposed to do when stocks are above historical norms and we're something like 10 years into a bull market? Probably will just keep putting after tax money into safe havens until the stock market takes its needed dip. Tax preferred accounts are still goes into stock ETFs.

While waiting for the correction I need to get better prepared and still wanting to crowd source ideas. How are other folks hedging in this economic environment? Just putting money in cash equivalents? I recon gold should go up during the upcoming dips. Anybody recently add gold to your portfolio? Does someone have a decent strategy of how to invest in stocks in a bubble, if so what is your pareto of metrics to make decisions?

Sometimes I read MMM forums but a lot of the advice that gets thrown around there seems just bad. For example in a recent post some guy was saying he wants to transfer everything he has into a single ETF, like Vangaurd, so he can take advantage of the lowest fees. Lots of folks were saying it was a good idea but I thought it sounded crazy to put all of your money into a single ETF. I guess when you make money someone else needs to lose money...here's to being on the right end of history!

Smashter
Posts: 541
Joined: Sat Nov 12, 2016 8:05 am
Location: Midwest USA

Re: where to invest $10,000 _ crowd sourcing ideas

Post by Smashter »

I would read everything on Tyler9000's Portfolio Charts.

https://portfoliocharts.com/

I personally use The Golden Butterfly. Based on what you wrote you might be a good candidate for it as well. It takes some of the pressure off of trying to predict the future.

frommi
Posts: 121
Joined: Sat Jun 29, 2013 4:09 am

Re: where to invest $10,000 _ crowd sourcing ideas

Post by frommi »

While the market is high consumer staples are pretty cheap, so if you want to do it the easy way you can just buy ... at the moment. Until April REIT`s were the thing to buy, so it really looks like there is always something cheap to buy. :)
Last edited by frommi on Sat Nov 17, 2018 8:54 am, edited 1 time in total.

Douglas
Posts: 80
Joined: Fri Feb 10, 2017 11:36 am

Re: where to invest $10,000 _ crowd sourcing ideas

Post by Douglas »

Made it back to portfolio charts, thanks for the reminder smashter. After taking a look I definitely want to add more bonds and gold to my after tax accounts. 2% of all investable assets are now in gold ETF (might go as high as 10%) and will have about 20% bond exposure from the current 10% after some more research.

frommi, thanks for the note. Looked at XLP and I think for my company 401K I will shift some of the portfolio there to test out that brokerage account platform (different from my after tax BA) and to pick up more diversification. They offered a few mainstream ETF options on my 401K platform without opening a brokerage account so that was what I have been working with. Looking at the last 10 years I don't know if I would call them cheap though ! Almost all stock indexes look similar to this where a massive mountain has grown next to the 2009 correction which leaves me scratching my head.

I think sometime later this year I will test buying individual stocks. Diversified ETFs will likely be most of my long term strategy but I want to be ready to buy individual stocks when opportunities arise.

Image

Post Reply