Investing

What to do with 50-75k?

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  • Dec 10th, 2020 6:01 pm
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[OP]
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May 26, 2008
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Toronto

What to do with 50-75k?

How would you invest it, say as a 3-5 year plan?

I’m wondering what people do with money.
Last edited by Gianni13 on Dec 8th, 2020 10:18 pm, edited 1 time in total.
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Feb 16, 2017
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Gianni13 wrote: How would you invest it, say as a 3-5 year plan?

I’m wondering what people do with money.
Buy stocks
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Jul 12, 2008
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Gianni13 wrote: How would you invest it, say as a 3-5 year plan?

I’m wondering what people do with money.
- Invest it over a 3 month period
- Put it in about 10 - 15 stocks mostly Canadian but with some US tech stocks
- Have some dividend paying names like pipelines, banks and telecoms
- Keep an eye on it at least once a month
- Profit
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Jul 10, 2020
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Gianni13 wrote: How would you invest it, say as a 3-5 year plan?

I’m wondering what people do with money.
With a 3-5 year time horizon: as in, you need that $75k back in total in 3-5 years?

you really cant afford to buy individual stocks for such a short period. and likely investing in the market over-all is not a good idea.

Given the time horizon, no advisor would be putting you into a portfolio/selecting stocks. too much risk.

anyway suggesting individual stocks (seriously suggesting and not just being sarcastic) doesn't understand risk.
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cfpuser wrote: With a 3-5 year time horizon: as in, you need that $75k back in total in 3-5 years?

you really cant afford to buy individual stocks for such a short period. and likely investing in the market over-all is not a good idea.

Given the time horizon, no advisor would be putting you into a portfolio/selecting stocks. too much risk.

anyway suggesting individual stocks (seriously suggesting and not just being sarcastic) doesn't understand risk.
But you could easily double your money in tech/growth stocks and take only the profits out. Anyway a 10 year horizon is the normal requirement.
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Dec 2, 2017
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Realistically, there is no time horizon needed. If you know what you are doing, you can be in and out of the market for as long as you want.

But based on the question, clearly, that's not the case. Just put your money in HISA or educate yourself to be able to follow any basic buyand hold ETF strategy. You will be fine.

But I guess:
Nobody wants to get rich slow (c)
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cfpuser wrote: With a 3-5 year time horizon: as in, you need that $75k back in total in 3-5 years?

you really cant afford to buy individual stocks for such a short period. and likely investing in the market over-all is not a good idea.

Given the time horizon, no advisor would be putting you into a portfolio/selecting stocks. too much risk.

anyway suggesting individual stocks (seriously suggesting and not just being sarcastic) doesn't understand risk.
This, for the most part.

@Gianni13 , what exactly happens in 3-5 years time? We don't know your age, financial situation, risk tolerance, nor your plans with your money.

Say you plan to buy a home in 3-5 years. For some people, they are going to save easily another $755k by then and might be enough for downpayment. Perhaps they are risk takers and getting a double digit return is better potential reward, even if it might end in double digit loss. For others, it could be the only reliable money they have. Losing any of it might prevent them from buying the home But maybe this person Is a risk taker and buying the home is merely nice, but not necessary....

So these kind of timeframe invest questions are generally useless because the length of time does h@ve an affect, but shouldn't be the sole determining factor for investing.
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porticoman2 wrote: consider or take a look at TQQQ as a park it & forget it for 5 years

https://www.splithistory.com/tqqq/

if you are smart enough you could also consider a 12 mth covered call option at the money on the shares
I have heard of QQQ but i do not understand how TQQQ works.
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Best advice from someone who did - don't lose money. :)
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porticoman2 wrote: consider or take a look at TQQQ as a park it & forget it for 5 years

https://www.splithistory.com/tqqq/

if you are smart enough you could also consider a 12 mth covered call option at the money on the shares
wow this post deserves an A+

yes, someone that comes to a forum to ask for advice on what to do with $75k that they need in 3-5 years from now, should load up on a TRIPLE LEVERAGED Nasdaq fund...

Best advice I've ever read.

OP, do this immediately.

/s
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porticoman2 wrote: its all relative ... whether it's 3x leveraged ETF, index funds, equities, penny stocks, (so called) blue chips, dividend growth stocks or YOLO options, crypto etc.

for the OP consider an HISA, GIC, Canadian Couch Potato or Robo investing.

OP (for the most part) investing in the stock market can be a crap shoot.
Are you the original portico man or an imposter haha. Welcome back!
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porticoman2 wrote: be interesting to revisit this post on the TQQQ possibility 12 mths from now
Why?

could it go up? Sure. It could even triple!
Is that the correct way to invest $75k when you need the full amount in 3-5 years?
No.
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porticoman2 wrote: OK, so lets go with 'buy & hold for 5 years' ride the wave, with a prossible 100% & out whenever that happens.

or maybe based on past performance including the splits.... what about doing 6 mth rolling covered calls out of the money to see if its possible to get 50% in 6mths with some added downside protection.

or simply buy the stock sell a 3-5 year long covered call option, take the option premium to buy more stock?
it doesn't matter.
that all carries a level of risk - which you're making it seem like there isn't any.
OP said they need the end amount intact in 3-5 years. There is ZERO guarantee you can provide that with any covered strategy.

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