Thread: Lump Sum

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  1. 02-16-2021, 01:12 PM #1
    Almag6
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    Lump Sum

    Hypothetically speaking....

    If you were expecting a lump sum of 250k to 500k, where would you park it?

    Dividend stock?
    Real estate?
    ETF's?

    Personal situation: no personal debt, emergency fund established, Roth/Simple IRA max out annually.
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  2. northstar
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    #2 02-16-2021, 02:27 PM
    I'd buy some land that my family and I could enjoy, and probably put the rest in Dividend Stocks. Disclaimer, I'm not a financial advisor so maybe get one of those.
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  3. mikeSF
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    #3 02-16-2021, 03:50 PM
    What is your time line for needing the funds? Land land and more land. It may take time to liquidate when and if you sell.
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  4. IMhooked
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    #4 02-16-2021, 06:38 PM
    What YOU should do depends on your Age, Net Worth, Job Security/Job Enjoyment and what your current family plan is. What is your risk tolerance? What is your current asset allocation (stocks, bonds, cash across all accounts) Do you have an Investor Policy Statement? Does it outline what you would do with a windfall like this (inheritance, bonus at work, lottery win, etc.) Any more info as far as your overall financial picture?
    If you truly wanted to know what I would do right now. Pay off the house OR invest it all in index in Total Market Index Funds according to my current asset allocation.
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  5. NitroZ7
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    #5 02-16-2021, 06:44 PM
    Whatever you decide, I would do it gradually. You don't have to invest it all at once.
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  6. OH_Ranger
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    #6 02-17-2021, 02:54 PM
    Vacation home. Beach house. Rent it out when I want there.
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  7. dvl2700
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    #7 02-17-2021, 07:38 PM
    Well some people say 50 -50 in stocks and bonds. The new formula is 20% each in stock, bonds, real estate, gold/silver, crypto - collectables- commodities. I have also heard Guns, Grub, Gold, Energy and Land.
    I would start out with Stock, Bonds and Real Estate. Then move into gold/silver and other agricultural commodities. Not much of a Crypto guy at this elevated level.
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  8. boneil
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    #8 02-18-2021, 06:55 AM
    One size doesn't fit all. So what I would do may not be the best option for you. Personally I would use a portion for a down payment on a house or land to build a house on. And the rest would go into stocks.
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