Question About Financial Investments

Buy stocks! Always buy when the market is down and sell when it's high.

And real estate is rarely a bad investment.

Wish you lived closer...I'd refer you to a trustworthy person here that I am close to :)
If you want to do something like this I would strongly suggest consulting a financial planner. They are trained in understanding the fluctuation in the market. Best wishes

Equities (that's fancy for stocks) with dividends. Now is the time to buy. People have this horrible strategy of buying when the market is high and selling when the market is low because they get scared. You can buy an index fund and then don't touch it.
I don't understand what the radio man was saying - if you take money out of your 401 (k) before 59 1/2 then you have to pay a 10% penalty plus the tax on it - could be as high as 40%. Unless you are almost 60, this is the worst idea ever! Maybe you misunderstood him? Check with your accountant or a fee-only financial planner before you do anything with your 401(k). Plus, assets in a 401(k) are protected from creditors, just in case. Maybe he meant you should change the asset distribution WITHIN your 401 (k). That is usually pretty good advice, as you need more security as your needs to "cash out" get closer. BUT the alternatives to stocks are paying almost nothing nowadays, so skip CDs unless you are over 90, skip T-bills until they pay more interest. I'd stay with stocks in your 401(k) just keep the stocks safer.
Real estate is depressed in most areas but it isn't liquid at all, so if you need to sell quickly, you are under pressure to accept a low-ball offer. Plus it should be a rental property if you want income. Do you have time to keep up with the hassles that rentals bring? My M-I-L finally sold all of her RE because it was such a pain to deal with nut case renters.
Funding a business - well, that's another piece of pain in the butt that takes all of your time. My husband and I have our own business and it is our only income, but it takes a lot of time and a large amount of capital to get started. I wouldn't trust anyone else to run MY business, though, since it is my skin in the game!

I am personally planning to buy a bunch of stock today. I have always regretted not doing so in 08. IMO this is the time to buy. We are not retiring for 20 years so we don't have to worry about it and there are some awesome discounts to be had. I spent all night last night doing my research -I love buying and watching stocks. We also save a ton in a 401 K and other boring stuff that which my husband handles.

I've had stocks and real estate. I have found I'm not ruthless enough to be a land lord. There is always a reason they can't pay the rent, but never reason enough they can't buy rib eyes, beer, or wine for a BBQ. They can afford to stop by the local fast food joint and spend $10 for a big meal they could have made at home for a couple of bucks, but they can't seem to pay their rent on time. I could go on, but you get the idea.

I like stocks. I have had my ups and downs, but I buy stocks that pay dividends. They tend to go down less and pay you to own their stocks. My current favorite is AGNC that pays a 19% dividend and has paid a real nice dividend for years.

Generally speaking, you can't access your 401K until you quit your job or retire. Then I'd go into high dividend stocks.

If you don't know anything about the stock market, get a subscription to "Money magazine". The last time I checked, it was about $10 per year. Also start watching CNBC TV programs, "Fast Money" and "Mad Money". You can learn a lot.

BTW, DRIP= dividend re-investment program. The company invests the dividends automatically in their stock and you don't pay any commissions to buy the stock.

Good luck to you and yours.

I can tell you today is the time to buy...NOT SELL....when the market drops like it did yesterday - BUY - BUY - BUY!!! :) Don't panic and sell...

We're not near retirement but we have a few investments - some "simple" low risk ones and a few "hot" high risk ones...

We have 2 DRIP (where our earnings get put back into the stock) funds as well...

Talk with a financial planner about what works for your family...as what works for one - might not work for the other...

We are very diversified. We hold real estate, stocks, bonds, savings bonds, numismatics, equity in our house and our company.

We fund our company personally, banks are not nvolved with any planning, forecasting, etc aspect of our company. We are a raw materials ( plastic) broker/consultants.

We have no Plans to cash out of our 401k's, daughters 529 college.

There is risk with the market, if you are not a numbers person and don't understand it, go to a reputable financial counselor.

The opinions and sources you get here on this site are public forum and people speaking from personal experiences, not speaking as qualified financial counselors.

Live below your means, no debt, and follow delayed gratification.

Good luck

.

We leave these questions to a professional who knows how to manage our risk. We are very comfortable with our financial planner making those decisions for us. He knows us, he knows the many investment vehicles and he knows when and where to move our investments when needed.

I believe that there is no one right answer when it comes to investments. That's why we hire a professional. He knows us and then can tailor the investments to our needs. If you need an advisor, I would recommend ours. Good luck! D.

Do not cash out of 401K! Roll it over into an IRA so you don't get socked with taxes and (depending on if you are 59-1/2 or not) with penalties. Talk to a financial professional.

Personally I could not be a landlord so I will never go the real estate route. Stocks I can understand but they are risky unless you have some knowledge. Believe me I have lost money both on my own in the stock market, and through financial planners.

I joined an organization called NAIC (google them on the web) to learn about buying stocks and have joined a local investment club.

Would like to invest in Gerber Stock

My inlaws have great luck with 'puts' and 'calls'. I don't know enough to explain it, but it has to do with betting on whether the stock price will go up or down.

Real estate is good, if it wasn't your previous home. If you buy something now, at rock bottom prices, you're not so emotionally involved in the property. We're renting out our old house. We'd love to sell it, because our cost per month is so high(morgage). We'd do it again though, if we could buy one of the foreclosures on the market.