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This is an especially thorny question because people seem to think interest rates are starting to rise. Already mortgage interest rates are up a bit. That means any fixed income investment will lose some market value as interest rates rise. Dividend paying stocks are a reasonable alternative, but they too will respond to rising interest rates.

Safest is to park your funds in money markets or in fixed incomes with a well defined term, say 3 to 5 yrs. CDs, or bonds where you own the bond itself and hold to maturity. This preserves capital at little risk but with modest interest income.

Rising interest rates will also slow the US economy and hurt stocks a bit. Buying on a dip or correction can still be the best you can do over long term. Or look for international investments where you think interest rates will be stable for a while (if you can find one).

Otherwise, if you are willing to take the risk, a diversified portfolio of good quality stocks can be your best move for the long term.
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