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Short term (3 months or less) investment of ~$2000

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  • Mar 24th, 2006 3:28 pm
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Deal Fanatic
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Nov 8, 2002
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Short term (3 months or less) investment of ~$2000

What would be the best way to invest this money to have the most returns (including the cost of investment/fees)? I'm not looking at anything risky and am not considering stocks at this point, but is there something easy to do that will get higher returns than just banking? The only option I've really looked at is the Scotiabank Money Master account which is 2.75% and I'm guessing there are better options out there.

Thanks!
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Newbie
Nov 7, 2005
83 posts
From the frugal Canadian (http://frugalcanadian.blogspot.com/)

Some options I have:
- Current PC Financial Account - paying 2.9% interest - no liqudity restraints
- ING Savings Account - paying 3% interest - no liquidity restraints
- 90 Day ING GIC - 3.4% - low liquidity restraint
-180 Day ING GIC - 3.5% - medium liquidity restraint with only a 0.1% benefit
- Bankers Acceptances - 0 to 90+ days - 3.25% to 3.55%
- T bills - 30 to 90 days 3% to 3.4%
- Corporate Bonds - GM Mtge Note Bond, 3.8% 9/22/06 with a yield of 7.314%.
- Other corporate bonds with Dec 2006 maturity - 3.6% - 3.8% yield
Deal Expert
Aug 2, 2001
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Brandon wrote:What would be the best way to invest this money to have the most returns (including the cost of investment/fees)? I'm not looking at anything risky and am not considering stocks at this point, but is there something easy to do that will get higher returns than just banking? The only option I've really looked at is the Scotiabank Money Master account which is 2.75% and I'm guessing there are better options out there.

Thanks!

No risk, no return.

With that said, because you don't want to take any risk, all you're left with are GICs and government issued bonds. There are also the high-interest savings accounts, and I'm sure ING beats the 2.75% you've been quoted.
Deal Fanatic
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Jul 27, 2004
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with no risk, 3 month or less time horizon, and $2,000 to invest, it's not going to make a whole hell of a difference what you do.
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Member
Aug 15, 2005
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Here's a little *risk*.
Give it to me to invest. I promise you 50% interest....

[fine print]...if you can find me in three months [/fine print] :cheesygri
Deal Fanatic
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Nov 8, 2002
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15-20_God wrote:with no risk, 3 month or less time horizon, and $2,000 to invest, it's not going to make a whole hell of a difference what you do.
I understand that it's basically going to be a difference of less than $100 from where I invest/save the money, but it's still something. It'll probably be longer time, like 4-5 months and more than $2000.

Basically I'd like something where the money isn't totally locked and risk is minimal. Like it's not that much money, but I'd still like to do the best I can with it.
Deal Fanatic
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Jul 27, 2004
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Brandon wrote:I understand that it's basically going to be a difference of less than $100 from where I invest/save the money
more like $20, if even that much.
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Aug 10, 2005
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Brandon wrote:I understand that it's basically going to be a difference of less than $100 from where I invest/save the money, but it's still something. It'll probably be longer time, like 4-5 months and more than $2000.

Basically I'd like something where the money isn't totally locked and risk is minimal. Like it's not that much money, but I'd still like to do the best I can with it.
it will be probably be a difference under 10 dollars.....for 3 months
not really that much
Jr. Member
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Mar 11, 2006
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Vancouver, BC
One correction to the information above: Current 3 month ING GIC pays 3.5% and that's probably one of your better options.

Having said that however, if my calculations are correct the difference you'll get between investing 2K in a 2.7% moneymaster account and 3.5% ING GIC for a period of 3 months (90 days) is a whopping... $3.95.

You decide if it's worth it. :)

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