how to invest $10,000

hello and merry christmas! I am a 24 fresh graduate who just started working. I have currently saved up about $10,000 in a savings account which is just sitting there, and I would like to make the most of this and wondering what I should do with it. I have never bothered because I didn't think much I could gain from this and that it's a gamble anyway to put it anywhere else.. I know if I continue to keep it there I might start withdrawing it and spending it (have already spent a bit)

I assume sticking £3k into an ISA to start with would be a good idea even though I haven't properly done the math or understand how it works here in the UK (not originally from here) with taxes since isn't it tax on interest (as my job already taxed me) so with a savings account and £5000 I don't think it will make that much difference?

I have a couple of ideas with what to do with this:
1. Invest in a diversed stock portfolio.. maybe get an independent financial advisor on the issue
2. Buy property abroad after loaning mortgage, in places I know a few things about
3. Start my own business (which I am interested in)
4. Start playing poker

Would love to hear any advice on this from people who've once been where I am on how I can make my money work for me.

cheers!

 

loan sharking. 18% a week. thats a nice vit.

 

Actually, if I were you, I would not invest anything at this point. You should always have a cash safety net for unexpected (emergency) expenses, equivalent to at least 3-5 months of your salary.

Whatever you invest, think of it as play money, because the word "invest" sugarcoats the reality of making poor decisions and loosing money. In short, invest only the amount you can afford to loose.

In your situation, I would put $10K in a CD / money market / federal or municipal bonds at ~ 5%, save up another $5-6K, and then play with (i.e. invest) that money.

There are many different opportunities out there, and it's not important what other people tell you as much as your comfort level and knowledge of the given investment field/climate. Some people are very good with real estate, others do well in the stock market, and yet another group likes to run their own companies.

Cheers!

 

I can't remember her name right now - but there is that one poker player who started playing and now she is had quite a bit. (Not that I am saying doing that of course)

A lot of investment companies will give you checks and some will even give you debit cards as well. That might be something to consider.

While you are young - look into getting a life insurance policy. With them, half goes into your insurance and the other part goes into stocks and bonds, etc. After about 10 years, you can take out part of that. You might check out Caledonian Life - that is who helped me out

 

IFAs will only sell you products they get the most commission on.

5k is not enough for a diversified stock portfolio.

Poker is not a good idea, unless you want to lose it fast.

Buying property abroad is a little risky with only 5k.

Starting your own business is a good idea, but if you have saved 10k from your job and you have just started working, it sounds like you have a good job. I would not want to pack that in to start a business that would probably earn a lot less.

I would put the money into a 12 month bond with a guaranteed return. I would then save up some more money from your job and look at your options again in another 12 months.

 

I'd just buy a profitable website... one that has revenue proof for at least 10 months.

 

agree would invest in a profitable website

 

I partly agree with EduOrg, although I think that Amazon stock will raise in the future until other major CPA networks arrives. I would hold it until december 2007. Other ideas - real estates. Always work.

 

I don’t know how things are where you live but $10 000 isn't much money so your options are very limited. I would suggest you invest in a business but if you don’t have any good plans or ideas just keep the money in the bank. I’m sorry but $10 000 won’t get you any decent property worth investing in.

 

I would say stick to 1 & 2.
Property in India is good, if you buy it in the capital or the finance capital you can see a return of 40-110% a year.

Else play it safer, Invest in a good equity diversified mutual fund with DSP Merrill Lynch or some other and forget about your money for a few years.

Try and ignore buying stocks unless buying blue chips (you do not need an adviser for this) cause stocks should be bought if you can watch them daily.

Just my 2 cents

 

A decent ROI can be achieved by investing in stocks/real estate, but a 10k capital is not enough to make it worthwhile, and would probably lead to you taking too many risks, in the hope of accelerating the process. Taking out loans is not an option, as investing under the pressure of debt can often cloud your judgement. Stay out of debt!

A brick&mortar business is also pretty much out of the question with only 10k as startup funds.

IMO, starting an online business would seem like the best approach considering your budget, and also your young age. It's a dynamic field where, if you add a lot of hard work and dedication to the equation, you could succeed (notice the wording, "could", and not "will", as, in the end, it's all up to you).

F1RM

PS: I didn't even quote #4, as relying on gambling to earn a living is something I would never recommend

 

I would put your $10k into my PayPal account

Go see a financial advisor!!

 

Import products from china and sell online

 

I would encourage you to read my thread here:
http://forums.digitalpoint.com/showthread.php?t=206142

I have been doing business on the internet for quite some time, my situation is basically opposite to yours. I have a proven track record of success and making money, but in order to make decent money, you need capital to get / keep things going and expanding. I do not have $10k in the bank, but if I did - I would turn it into $1 million in a year easy.

 

I find it hard to believe that you claim you can make an "easy" 100x return on an investment, and yet you don't have $10,000.

Something does not add up.

 

IF you know a lot about websites and monetization then it is the Best ROI! Especially if you can monetize it better than the person you are buying it from. More risk than a CD but the risk/reward ratio makes it well worth it.

 

Think what you like to do in the future. I'd like to start a company, but that will take a great responsibility and effort (much time) so you have to think if its worth for you.

I wouldt spend my money on an expensive advisory person. Just keep a little bit in cash an try making more money...

Dont want the stress of your own company? Go on a nice holiday!

Think there are banks enough that will give you 10.000 if you pay them 100.000 after one year

 

That's a good down payment on a home. Real estate is probably the best place to put your money now, especially fresh out of school. It's a buyers market and interest rates are still low.

 

buy a good stock that pays dividends and reinvest it. that would mean you go directly to the company you're investing in (call them) and ask for dividend reinvestment plan.

 

I'd buy 10 x $500 sites that make at least $5 a day and spend the other $5,000 marketing them.

Col