No. of Recommendations: 2
How large is a "not large amount"? How far from "losing is all" could you (she) accept?
Vanguard mutual funds have a minumum initial inveatment of $3000. Half a dozen funds would be $18,000.

Losses of 30%-50% are not unusual. (We just went through a decline like that in 2008.) Is that too big of a risk?

When this type of thing happened with my wife, I resolved it by putting half of her windfall into savings accounts at Alliant CU and Discover Bank, earning 1.3%-1.5%. Not a great dividend, but enough to let her buy whatever she wanted to without risking a loss in that portion.

The rest, I invested as usual.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.