If you had $1500 to invest...

[ChaseMcD]

I know $1500 isn't a lot of money for many people but for me, having an extra $1500 available to invest is a pretty big step.

So if you were going to invest that amount of money in something that provided good returns what would it be? I have been looking at lendingclub.com and I am keen to give it a go but I also know that at $1500 you can't spread your risk around as much as you could with say $15,000.

Thanks.

[subbs]

Vanguard Funds, Invest in a blanced portfolio of ETF's or something similar.  Let it sit, and when you get 50-100 dollars every now and then contribute to it.  Once it starts to grow on it's own you'll be giddy.

[4alpacas]

If you haven't maxed your 401k and IRA, then I would put the money there.  If not, then I would buy an index fund through Vanguard or Fidelity.

[neo von retorch]

Most of us visiting this specific forum assume that you'll be investing for a long time, and so we all share a common strategy. Buy low-cost Vanguard index funds and leave the money there a long time (until retirement.) So the question is not "that provided good returns" but rather what's a good long-term strategy?

Vanguards best funds require a $10k investment (Admiral shares, 0.05% expense ratio) but as mentioned, there are ETFs that are also low cost and can be bought in much smaller quantities.

Anyway, back to my original point - if you have the money earmarked for a future (short-term) goal, you would want to reduce risk and accept lower returns so that you know you're not losing principal that you're counting on. For anything under 3 years, the safe bet is a ~1% savings account. But if you're working on your early retirement fund, sink it into those Vanguard options!