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Subject:  Re: Switch IRA from CD to Stocks Date:  3/23/2000  11:30 AM
Author:  TMFPixy Number:  20444 of 90421

Greetings, hlandau, and welcome. You asked:

<<Would it be foolish for an 80 year old investor to switch an IRA currently in a bank CD to a brokerage account in order to invest in stocks and mutual funds? >>

Certainly even at age 80 part of your portfolio should be invested in stocks or stock mutual fund to provide growth, and significant growtn cannot be found in CDs. Whether you should move to something else, though, is contingent on your willingness to absorb the risk prevelant in the market place. Next to T-Bills, CDs probably represent the "safest" investment you can make. Still, you could earn far more in something else. Therefore, it rather depends on when you need the money and how willing you are to watch the ups and downs if that money is invested elsewhere. Need the money in less than five years? Then stay out of stocks.

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