Investing

$100k investment for the next 3-5 years

  • Last Updated:
  • Nov 15th, 2017 3:39 pm
Jr. Member
Oct 31, 2014
163 posts
48 upvotes
Edmonton, AB
Paying down the mortgage is the safe option. Once you pay that off, you'll get excited about saving more money and you can dip into the stock market with a longer time horizon and less monthly bills to pay.
Member
User avatar
Dec 11, 2009
351 posts
50 upvotes
Toronto, ON
sherwoodRFD wrote:
Nov 10th, 2017 10:08 am
If you need money after 3 years, investing in stocks is not a good idea - because it can easily lose value. Especially now when the market has rallied for almost 10 years.
Similar to stocks the housing market here in the GTA has also been going up for a long time - so what option is left for young people that are joining the work force now for have joined a few years ago and have saved a down payment? I choose to do both and if they both tank it will suck.
Member
User avatar
Dec 11, 2009
351 posts
50 upvotes
Toronto, ON
SheaButters wrote:
Nov 10th, 2017 11:59 am
Paying down the mortgage is the safe option. Once you pay that off, you'll get excited about saving more money and you can dip into the stock market with a longer time horizon and less monthly bills to pay.
You mean a shorter time horizon right? You wouldbe investing into the market later in life.
Deal Guru
Aug 2, 2010
10948 posts
2175 upvotes
Your assuming your stock market investments will be worth more in a very short time-frame. That is not a wise assumption. If you want to ensure preservation of capital on a 3-5 year time frame the stock market is DEFINITELY NOT the place to invest your money. There have even been many 10 year periods where a dollar invested in the stock market was worth less 10 years later.

If you like to gamble, then YES the stock market is the perfect place for your money!
Member
User avatar
Oct 19, 2016
394 posts
134 upvotes
Toronto
Why the obsession of RFD'ers with Dividend Paying stocks ? Why not just any good stocks ?

You do realize that when companies pay out the dividend, the stock price drops by the same amount ?

IMO, your choice should be between mortgage and stocks... (not limited to dividend paying stocks)
Newbie
Sep 16, 2017
27 posts
7 upvotes
if you have a defined reason for needing this money in that short of a time frame don't put it into stocks. play the interest game in HISAs. or you can dump it all into your mortgage and earn a tax free return.

Top