The Motley Fool Discussion Boards
|
Previous Page | |
Investing/Strategies / Bonds & Fixed Income Investments |
||
URL:
https://boards.fool.com/not-the-reit-preferreds-and-certainly-not-31579139.aspx
|
||
Subject: Re: RE: have cash to invest from Mom's estate | Date: 1/13/2015 1:35 AM | |
Author: MisterFungi | Number: 35418 of 36940 | |
NOT the REIT preferreds--and certainly not individual issues. They are very sensitive to rising interest rates, individual preferreds can be difficult to sell, and you could end up losing a lot in principal. You might put a small percentage (say 10 percent) in a REIT-preferred ETF (e.g., PFF) or closed-end fund; but make sure it does not use leverage. With US equities priced for perfection and bonds overpriced and poised for a drop when interest rates start to rise, there are not a lot of places to make easy money right now. I would not invest the whole $300K all at once. A TIPS fund is one place to park some cash. Putting some in a muni fund (e.g., MUB) is another possibility. A basket of so-called dividend growth aristocrats is a decent option -- e.g., VIG or SDY. (Hmmm. I should probably have more in these guys.) |
||
Copyright 1996-2021 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us |