The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing


Subject:  Re: Invest extra cash? Date:  4/14/2012  4:46 PM
Author:  pauleckler Number:  70546 of 88775

To put this in perspective, gives the national average yield of a 1 yr CD as 0.33%; of a 5 yr CD, 1.14%

Treasury yield curve Friday: 2 yr 0.27%; 5 yr 0.86%

Dividend stocks:

AT&T 5.70%; Ameren 5.10%; Reynolds Tobacco (RAI) 5.40.

Bond fund: Fidelity Capital and Income (FAGIX) 6.13%

Closed end leveraged muni fund (Nuveen Muni Select, NQS) 6.80% (mostly fed tax free).

You can clearly get better returns in the short term with alternatives to CDs, but in the longer term at somewhat increased risk.

Is the added income worth the risk?
Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us