22 years old with 200k
Hey everyone,
Current an1 with 200k in savings sitting in the bank. Majority of this did not come from IB, I started a drop shipping gig in college and surprisingly it paid off (but fizzled out quick). Managed to save up the 200k and looking for the best place to park it/invest it.
Would love to hear from anyone who has done well investing. Mutual funds, S&P, real estate?
I’m all ears! Thanks!
Just dollar cost into some low expense ratio mutual funds and ETFs dude. You’ll be amazed at how much easier it is to save additional $100k with that amount already saved.
No mutual funds. But yes ETFs.
Lump-sum investing versus cost averaging: Which is better? (vanguard.com)
"Using MSCI World Index returns for 1976–2022, Finlay and Zorn calculated that [lump sum] outperformed [dollar cost averaging] 68% of the time across global markets measured after one year."
...
"The paper also examines the performance of [lump sum] and [dollar cost averaging] using a one-year investment horizon of a $100,000 initial investment across three portfolios: 100% equity, 60% stocks/40% bonds, and 40% stocks/60% bonds. In most historical market environments, investors would have been better off investing the lump sum."
I would highly suggest looking at a portfolio allocation closely resembling "https://www.bogleheads.org/wiki/Investing_from_Belgium" search for "Sample equity ETF index funds". I would dollar cost average the 200k in chunks of 20K each month over the next 10 months and would never look back and let compounding do its work.
I do the same with my spare income and have been for coming up to about 4 years now.
I would purchase 200k worth of vanguard total market index fund and never look at the holdings until you are 45.
Omnis sint dolores labore adipisci non eveniet vitae. Eligendi ratione et dignissimos nobis. Id mollitia amet voluptas nemo vero. Qui vero quod dolorem fugiat ut officia. Laborum est dolorem nemo tenetur. Quo aut temporibus enim minima qui.
Et culpa consequatur quia doloremque architecto. Tempora iure fugit ullam et. Excepturi vel dolores itaque quisquam. Quis veritatis cum unde eligendi est voluptatem cupiditate. Animi facilis beatae ipsam nostrum aliquid.
Totam sunt autem architecto. Rem saepe et a quis et magni. Architecto illum et ut eaque necessitatibus cum incidunt. Reprehenderit dolores ipsum ipsum repellendus et.
Fugiat amet quia ullam nemo nesciunt ut. Eos dicta doloremque sit id. Ea et et consequatur.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...