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Subject:  Re: Is my wife smarter than me? Date:  8/25/2006  2:25 PM
Author:  vtjon Number:  53309 of 88051

Since you are going to be the next Warren Buffet, can I give you $10,000 to invest for me?

Not to be too snarky, but the types of returns you are talking about--20% per year for a sustained period--are not realistic for ANYONE to expect. Some of the greatest investors in the history of the world have done it, but they are the exception to the rule and can be counted on one hand. Further, to even consider double digit returns you'd have to take on much more risk than I'd suspect you are interested in doing. For the type of capital preservation/income generation investing that you would want to do to protect your nest egg, you could strive for 5-6% returns. 5% of 700,000 is $35,000 per year, or around $2900 per month.

I think you need to do some reading and get some professional advice before taking the option. But realistically, I think your wife is right.

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