The Money Mustache Community

General Discussion => Welcome and General Discussion => Topic started by: NCTarheel on February 13, 2018, 10:13:32 AM

Title: If you had $100,000 in cash today... How would you invest the $$
Post by: NCTarheel on February 13, 2018, 10:13:32 AM: If you had $100,000 in cash today... How would you invest the $$

Just curious what people would do with the 100k
- Stock Market
- Bonds
- Real Estate
- Combo of each??

Appreciate any thoughts you may have.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Zikoris on February 13, 2018, 10:15:41 AM: Index funds and immediately forget about it. I like to keep things zero-brainspace, zero-effort.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: FireHiker on February 13, 2018, 10:20:32 AM: I'd be torn between investing in the market (index funds, boring like that) or picking up a rental property to be diversified. Rents are insane where we are, but so are sale prices.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: NorthernBlitz on February 13, 2018, 10:25:12 AM: Quote from: Zikoris on February 13, 2018, 10:15:41 AM
Index funds and immediately forget about it. I like to keep things zero-brainspace, zero-effort.

This. Keep my boring old asset allocation.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: RWD on February 13, 2018, 10:27:01 AM: I would invest it according to my investment policy statement.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: HPstache on February 13, 2018, 10:31:14 AM: I'd buy the duplex that shares the lot with the duplex I currently own.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Fishindude on February 13, 2018, 10:36:37 AM: Income producing real estate.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: trollwithamustache on February 13, 2018, 10:47:36 AM: V - 20%
T - 20%
S - 20%
A - 20%
X - 20%
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: I'm a red panda on February 13, 2018, 11:11:07 AM: VTSAX, VTIAX, VBTLX, VTIBX according to my asset allocation
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Valhalla on February 13, 2018, 11:22:26 AM: No one mentioned bitcoin??

I kid...I kid... :)
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: RedmondStash on February 13, 2018, 11:58:06 AM: Quote from: NorthernBlitz on February 13, 2018, 10:25:12 AM
Quote from: Zikoris on February 13, 2018, 10:15:41 AM
Index funds and immediately forget about it. I like to keep things zero-brainspace, zero-effort.

This. Keep my boring old asset allocation.

Yes, this. Follow my existing asset allocation. Stock and bond index funds. Asset allocations are scalable.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: chaskavitch on February 13, 2018, 12:07:21 PM: I think my husband would want to put it toward a down payment on a new house. We're currently very slowly saving a down payment for a house with more land and fewer neighbors, and that would push us up to a full 20% downpayment, at a minimum.

Personally, I'd probably put half toward that, because it is important to him, put enough toward our monthly expenses that we could max our 401ks this year, and the rest into VTSAX in a taxable account. We don't have enough saved to retire yet, and I would hate the commute I'd have if we actually moved to a new house this year.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: mathlete on February 13, 2018, 12:20:23 PM: Under the mattress.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: moof on February 13, 2018, 12:23:11 PM: VTSAX and never look back.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Michael in ABQ on February 13, 2018, 01:32:27 PM: Down payment on a house. With that much we'd be able to afford what we're looking for, put the rest on a 15-year mortgage and still be paying about the same as our current rent.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: GuitarStv on February 13, 2018, 01:36:20 PM: I'd invest in one hundred million penny candies . . .then early retire and consume my investments until drifting off into a diabetic coma.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Raenia on February 14, 2018, 07:34:32 AM: Downpayment on a house (we're currently shopping around as we save up to 20%), the rest in stocks/bonds according to my asset allocation.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: jlcnuke on February 14, 2018, 08:20:54 AM: Stock market index funds is the right answer, but I'd probably toss ~$25k at my mortgage just to knock the balance down enough that I'd have it paid off when I plan to retire.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: partgypsy on February 14, 2018, 08:41:43 AM: pay off house. 4K for house remodel, 6K to help pay off bills (furnace). Use remaining 35K to help pay off ex so I would need to take out less from retirement accounts to make us each whole at divorce.
All those things would make me feel so much better psychologically, it is WORTH it to me even if not mathematically optimal. What is mathematically optimal is use all for divorce costs so retirement fund effects are minimal.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: TheAnonOne on February 14, 2018, 10:11:17 AM: I am nearly 100% vtsax, don't really see that changing.

When it hits 800k->1200k and I feel like it, I will quit.

Pretty easy!
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Mississippi Mudstache on February 14, 2018, 10:15:13 AM: Throw $21,000 at the mortgage to get rid of PMI. Invest the rest at my standard 90% stock:10% bond allocation.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: dougules on February 14, 2018, 10:48:35 AM: Quote from: RWD on February 13, 2018, 10:27:01 AM
I would invest it according to my investment policy statement.

+1. Use the same strategy as you would your paycheck. For me personally that would be a market weighted split between VTSAX and VTIAX.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: h82goslw on February 15, 2018, 05:03:24 AM: I’d put it towards a 2019 corvette ZR-1. It would only be a down payment as it costs way more than $100K
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Lmoot on February 15, 2018, 05:48:19 AM: Rental property. Since I could afford to be risky, I would invest in shares for small business only. Making large rich corporations even larger and richer, even if it benefits me, is something I still struggle with when it comes to investing in the general market. That’s why I like rental property. Good ole fashioned goods for services.
Title: Re: If you had $100,000 in cash today... How would you invest the $$
Post by: Villanelle on February 15, 2018, 05:53:39 AM: 90% index funds, 10% bonds. If it were entirely up to me, it would be all equities*, but DH isn't quite on board with that. Just like any other money we have to invest.

DH has all but locked in an inflation-adjusted pension, which IMO basically takes the place of bonds.