SuperStretch18
Member
- :
- '07 CX-7 Sport, Black on Black; '04 Mazda3s
Gotcha... (bowdown)
money money money??
- Thread starter whitety
- Start date
Gotcha... (bowdown)
Nice avatar. love that movie
Lots of great ideas...now if only I had that $5,000. I would have to go more along the line with put a few (<$3,000) in the mazda and put the rest in savings for something later. Maybe get new suspension, intake, full exhaust, wheels? I'm fairly stock right now. Like the ideas guys...keep them coming!
It all depends on what your goals are. Are you planning on making a big purchase within the next year or so? (car, house, island in dubai) then you're going to want to stay conservative with your money and put it in something low-risk like a traditional savings (if you want immediate liquidity) a CD (if you can let it sit for at least 9 months) or even a money market. Given its recent volatility, in this scenario, the stock market would be the last place you'd want to put your money.
Conversely, if you're closer to 5+ years away from a big purchase, investing in the market isn't a terrible idea. It's true that many stocks can be bought at a "discount"... but nobody knows where the button truly is so even that's risky. As a general rule of thumb, however, utilizing dollar-cost averaging for an extended amount of time (IRAs and 401ks are the best example of this) will undoubtedly pay off in the end.
So in short... short time frame? be conservative moderate to long time frame? safe to roll the dice a bit. Remember... when it comes to investing, you only lose money if you cash out. Hang in there through the rough times and the market will eventually bounce back. At least, it always has in the past.
Conversely, if you're closer to 5+ years away from a big purchase, investing in the market isn't a terrible idea. It's true that many stocks can be bought at a "discount"... but nobody knows where the button truly is so even that's risky. As a general rule of thumb, however, utilizing dollar-cost averaging for an extended amount of time (IRAs and 401ks are the best example of this) will undoubtedly pay off in the end.
So in short... short time frame? be conservative moderate to long time frame? safe to roll the dice a bit. Remember... when it comes to investing, you only lose money if you cash out. Hang in there through the rough times and the market will eventually bounce back. At least, it always has in the past.
