Financial Channel

hi guys,

let's say you have $100/week for 20 years or $400/month for 20 years, where will you invest it? i'm planning to invest my $100 per week for 20 years and i don't know where to start. if i will put this money in high interest savings account like ING at 3.15%, at the end of 20 year term the growth is only $37,188 with a total of $133,188. i think it should do better than putting the money in regular savings.

any suggestions? i will use this money as part of my retirement income so less tax will be great when i'm about to take money from this investment.

At $100/wk it doesn't really matter. $400/wk you might want to put it in the market. Over a period of 20 years you should do fine.

Unless you're willing to put in a lot of effort into choosing stocks, I think this quote by Warren Buffet is probably the best advice:

By periodically investing in an index fund, for example, the know-nothing investor can actually out-perform most investment professionals. Paradoxically, when "dumb" money acknowledges its limitations, it ceases to be dumb.

im putting 200/mth into rsp's with an approx. 8% return yearly, so by the time im ready to throw the towel in and travel the world as a ripe out grape i will have around $800,xxx to play with on top of my pension and all.

what kind of rsp are you investing your money? mutual funds? which bank?

The bank doesn't matter.
Get yourself a financial plan made for you by a planner.

Good Luck.
M

not through a bank, thru the Investor's Group - made a solid relationship with a financial planner and he went thru the entire process with me and is investing in the safest funds with a moderate return for what i was looking for.

don't IG funds have extremely high MERs?

can i trust Primerica's financial planner?

Are you being sarcastic?
Or do you normally not put a smiley after your sentences if you are joking.

If not, then you probably understand the underlying message of this post.

from what i heard, Primerica's not too good ...

But you can always compare multiple planners - pick someone that you're comfortable with.

Primerica is ok. As per my private message to you, they are limited on their selections. Unfortunately the majority of their agents are only life licensed so they will only limit you to segregated funds. Find an agent who is dual licensed and can offer you products from many different companies rather than their own. Otherwise you will get biased opinion's on how their's are better because of blah blah vs the other company.

I'm investing in aggressive growth funds, while diversifying my portfolio in different sectors. My investments also include a universal life insurance policy. In total, I'm trying to invest $250/mth (include my life insurance premiums) for a total of $3000/year, with a goal of AT LEAST 10% annual return. And I'm only 22, trying to retire at 55-ish

Good job tigger. It's good to see more young people investing in their lives early. Diversify your savings though in three ways. Short term, mid term and long term. Identify goals for each and split up your savings based on importance with them. You should do well but make sure in the UL policy that you are doing much more then just the premium. Atleast 3 times the minimum

At 22, I have a $250,000 UL policy, and pay $60/mth in premiums. I'm thinking of increasing the amount to maybe $500,000 b/c today it may seem like a lot of money, but probably not a lot in 40-50 years or so. I may use this to take out loans in the future. I'm not too big into RRSPs, as you have to pay high taxes when you take out the money. I'd rather invest the money in land or something (once I get a decent f/t job with a fixed income).