Savings/investments/bonds Master Thread.

[av83]

Whats type of investment is suggested for money that i will need in about 4 years?

[gutlib]

Does anyone know about Robinhood are they good, it sounds pretty simple to invest on their platform, but I'm new to this whole thing,
I just want to put away some money for my kids to marry them.

Any advice is highly appreciated.

[Iz]

Does anyone know about Robinhood are they good, it sounds pretty simple to invest on their platform, but I'm new to this whole thing,
I just want to put away some money for my kids to marry them.

Any advice is highly appreciated.

If you're just starting, I would recommend mutual funds, e.g., S&P 500 or Total Stock Market index funds. An easy reputable low cost place to do so is Vanguard. Also, 10k per each parent per year can be invested in I-Bonds. Look it up on DDMS. The most important advice is JUST DO IT - the earlier the better. Don't get lost in the details. The main thing is to just do it. Hatzlacha!

[sguitarist18]

Does anyone know about Robinhood are they good, it sounds pretty simple to invest on their platform, but I'm new to this whole thing,
I just want to put away some money for my kids to marry them.

Any advice is highly appreciated.

Personally, I find Vanguard's website difficult to use.

Fidelity might be the easiest, and any money in your account is automatically put into a money market fund currently yielding ~5%.

As far as investment choices,

If you're just starting, I would recommend mutual funds, e.g., S&P 500 or Total Stock Market index funds.

IMALHTISBO (in my always-less-humble-than-it-should-be opinion), even for experienced investors this is generally the way to go for the bulk of investments. Even professionals with decades of experience don't generally beat the market consistently.

[gozalim]

If you're just starting, I would recommend mutual funds, e.g., S&P 500 or Total Stock Market index funds. An easy reputable low cost place to do so is Vanguard. Also, 10k per each parent per year can be invested in I-Bonds. Look it up on DDMS. The most important advice is JUST DO IT - the earlier the better. Don't get lost in the details. The main thing is to just do it. Hatzlacha!

I bonds isn't the great deal it was a year ago

[Iz]

I bonds isn't the great deal it was a year ago

Of course, but IMHO it's still a great long term investment, as part of a portfolio. Am I wrong?

[Iz]

Does anyone know about Robinhood are they good, it sounds pretty simple to invest on their platform, but I'm new to this whole thing,
I just want to put away some money for my kids to marry them.

Any advice is highly appreciated.

https://engage.fa.com.sg/fapl-content/time-the-long-term-investors-best-friend/
https://www.fool.com/investing/2022/08/25/what-warren-buffett-can-teach-us-about-time-in-the/

[sguitarist18]

Of course, but IMHO it's still a great long term investment, as part of a portfolio. Am I wrong?

I've never heard from anyone experienced in investments that recommends I-bonds.

There may be a place in in a balanced for portfolio for other types of bonds.

[gutlib]

First thanks to everyone who's helping and sharing their advice, (I don't think I would get so much help anywhere else.)

I would like to know about Robinhood since they are extremely user-friendly and very easy to buy stocks (it's like you buy from Amazon or even easier)

[sguitarist18]

That's actually kind of a disadvantage, on a number of levels. My super-superficial view of Robinhood is that it encourages active investing, which is not recommended for most people.

1) As mentioned before, you're probably best off investing in something simple, like an S&P 500 or total market ETF. Therefore, better to avoid a platform that encourages buying individual stocks.

2) By the same token, better to avoid a platform that encourages lots of buying and selling - you want to build a strategy and stick to it, not make decisions based on emotions. And that can be tough no matter what, if you have significant money that you see lose 10-20% of value within a matter of weeks or months.

3) You also want to (in my opinion) look at what your money will be earning if it's not invested in anything and just sitting there.

[gozalim]

That's actually kind of a disadvantage, on a number of levels. My super-superficial view of Robinhood is that it encourages active investing, which is not recommended for most people.

1) As mentioned before, you're probably best off investing in something simple, like an S&P 500 or total market ETF. Therefore, better to avoid a platform that encourages buying individual stocks.

2) By the same token, better to avoid a platform that encourages lots of buying and selling - you want to build a strategy and stick to it, not make decisions based on emotions. And that can be tough no matter what, if you have significant money that you see lose 10-20% of value within a matter of weeks or months.

3) You also want to (in my opinion) look at what your money will be earning if it's not invested in anything and just sitting there.

stone of the "proper" brokerage accounts (like fidelity, schwab) should be  easy enough to learn quickly

[Iz]

That's actually kind of a disadvantage, on a number of levels. My super-superficial view of Robinhood is that it encourages active investing, which is not recommended for most people.

1) As mentioned before, you're probably best off investing in something simple, like an S&P 500 or total market ETF. Therefore, better to avoid a platform that encourages buying individual stocks.

2) By the same token, better to avoid a platform that encourages lots of buying and selling - you want to build a strategy and stick to it, not make decisions based on emotions. And that can be tough no matter what, if you have significant money that you see lose 10-20% of value within a matter of weeks or months.

3) You also want to (in my opinion) look at what your money will be earning if it's not invested in anything and just sitting there.

Absolutely.

[Iz]

I've never heard from anyone experienced in investments that recommends I-bonds.

There may be a place in in a balanced for portfolio for other types of bonds.

My answer was directed specifically to a novice, but of course other bonds have a place.

[gutlib]

so I'm making sure, I need this type?
Account type
Brokerage - The Fidelity Account® Individual
Core position - Fidelity® Government Money Market Fund (SPAXX)

[ExGingi]

so I'm making sure, I need this type?
Account type
Brokerage - The Fidelity Account® Individual
Core position - Fidelity® Government Money Market Fund (SPAXX)

Unless you want a ROTH IRA.

Also, once you have it funded, you can purchase SPRXX which yields slightly better than SPAXX. It will still be considered available cash.

[gutlib]

S&P 500 INDEX
is it this?

[incendia]

Does anyone know about Robinhood are they good, it sounds pretty simple to invest on their platform, but I'm new to this whole thing,
I just want to put away some money for my kids to marry them.

Any advice is highly appreciated.

I would stay away from Robinhood and other investor apps and stick to established brokerages. I believe Fidelity has a $50 or $100 SUB.

[Iz]

Anyone here try this?
https://www.walmart.com/cp/collectible-coins-bullion/4718514

[Yo ssi]

S&P 500 INDEX
is it this?

Or according to @niebloomj VTI is preferred

[whacked1]

Anyone here try this?
https://www.walmart.com/cp/collectible-coins-bullion/4718514

Whats there to try? You are buying above spot?

There used to be specials on these coins collectors websites selling below spot to bait you in. But i havent seen in a while (i believe Nationwide coins was one of them)